Investors cheered a strong jobs report and the passage of the debt ceiling bill that averts a U.S. default. Last week, the S&P 500 was up 1.8% and the Nasdaq and Dow Jones were both up 2%. As more positive data becomes available, it is looking like the economy is continuing to grow, making for a lower chance of a recession. And, with signs that inflation is starting to wane, the Federal Reserve may stop increasing interest rates as soon as their next meeting in mid-June.
Economic reports from last week came back mostly positive: •Single-Family Home Values - higher than expectation •Consumer Confidence - higher than expectation •Manufacturing (Dallas) - lower than expectation •Job Openings - higher than expectation •Private Employment - higher than expectation •Total Employment - higher than expectation •Labor Productivity - higher than expectation •Construction Spending - higher than expectation •Vehicle Sales - lower than expectation •Jobless Claims - lower than expectation This week, investors will look for guidance from economic reports like Consumer Credit and Jobless Claims.