Weekly Market Bullets

for the week ending 4/5/2024

• US Equity Markets declined last week as interest rates hit 5-month highs amid strong economic data and Fed comments raising questions about hoped-for rate cuts. The S&P 500 dropped 1.0% for the week to bring its gains for the year to 9.1%. The Nasdaq fell 0.8% for the week and is now up 8.2% for the year, while the Russell 2000 (small cap stocks) tumbled 2.9% for the week and is now up 1.8% for the year.

• Global Equity Markets were mixed last week as disappointing economic data out of Europe impacted markets. Developed Markets declined 1.2% for the week and are now up 3.6% for the year. Emerging Markets rose 0.2% for the week on strength in Chinese markets to bring its gains for the year to 2.2%.

• US Interest Rates Increased on strong economic data. Payroll gains for March totaled a robust 303K, much better than expected and up from 270K in February, while the Unemployment Rate ticked down to 3.8% from 3.9% in February. As a result, the yield on the US 10-Year Treasury rose to 4.39% from 4.20% the prior week. Investors now believe there is only a 50% chance the Fed cuts rates in June vs. a 61% chance a week ago.

• Commodity prices continue to move notably higher. Oil prices rose to 6-month highs last week, closing at $86.73/barrel, up over 21% so far this year. At the same time, gold hit all-time highs last week touching $2,350 per ounce, while copper hit 15-month highs. The rise in commodity prices suggests that the global economy is in healthy shape, but also suggests inflation may remain stubbornly high.

Market Data

for the week ending 4/5/2024