To begin 2022, stocks have come under pressure with a spike in interest rates. Last week, the Nasdaq was down roughly 4.5% and the S&P 500 lost 1.8%. Notes released from the Federal Reserve’s recent meeting showed that they are ready to reduce their economic help faster than anticipated. With interest rates rising rapidly, investors have been selling their riskier stocks, many of which are technology companies.
Economic reports from last week came back mostly negative: •Construction Spending - worse than expectation •Job Openings - worse than expectation •Private Sector Employment - better than expectation •Total Employment - worse than expectation •Vehicle Sales - worse than expectation •Jobless Claims - worse than expectation •Consumer Credit - better than expectation This week, investors will look for guidance from economic reports like Small Business Optimism, Jobless Claims, Retail Sales and Consumer Sentiment.