After briefly losing momentum, the stock market rally of January continued to end the week. Last week, the Nasdaq outperformed, gaining 0.55% and its third positive week in a row. The Dow Jones was lower by 2.70% and the S&P 500 was down 0.66%, both breaking two-week win streaks. All major stock averages are positive in 2023 thus far.
Economic reports from last week came back mostly positive: •Manufacturing (New York) - lower than expectation
•Manufacturing (Philadelphia) - higher than expectation
•Retail Sales - lower than expectation •Homebuilder Sentiment - higher than expectation •New Residential Construction - higher than expectation •Existing Home Sales - higher than expectation •Jobless Claims - lower than expectation This week, investors will look for guidance from economic reports like Manufacturing, Housing, Consumer Confidence, Employment, Job Openings, Vehicle Sales, Labor Productivity, Construction Spending and Jobless Claims.