The Strength of the Market is: Strong

Stocks ended last week higher with signs that inflation may be cooling - the Dow Jones and S&P 500 were each up 1.5% and the Nasdaq advanced by 1%. This week, investors will be watching two main events - 1.) The Federal Reserve's Jerome Powell will speak on Tuesday morning and 2.) the latest inflation numbers will be released on Thursday morning. These two events should provide further clues on the Federal Reserve's stance regarding interest rates and their fight to lower inflation. Economic reports from last week came back mostly positive: •Construction Spending - higher than expectation •Job Openings - higher than expectation •Vehicle Sales - lower than expectation •Private Employment - higher than expectation •Total Employment - higher than expectation •Jobless Claims - lower than expectation This week, investors will look for guidance from economic reports like Consumer Credit, Small Business Optimism, Consumer Sentiment and Jobless Claims.