In just one week, for the stock market, we have gone from a very bad week - worst since October - to a very good week - the best since February. Investor concerns, from a few weeks ago, were quickly forgotten. The latest stimulus package, this time, in the form of an infrastructure deal, is moving forward legislatively and the thought that inflation can be kept under control has calmed fears and helped the stock market reach new all-time highs.
Economic reports from last week came back mostly negative:
•National Activity - worse than expectation
•Manufacturing (Richmond) - better than expectation
•Manufacturing (Kansas City) - worse than expectation
•Existing Home Sales - better than expectation
•New Home Sales - worse than expectation
•Jobless Claims - worse than expectation
•Consumer Sentiment - worse than expectation
This week, investors will look for guidance from economic reports like Manufacturing, House Prices & Sales, Consumer Confidence, Employment, Construction Spending, Jobless Claims and Vehicle Sales.