Stocks notched gains, last week, during the holiday-shortened trading week. All three major indexes ended the week higher - the Dow Jones was up 1.78%, the S&P 500 was up 1.53% and the Nasdaq was up 0.72%. Gains came in on reports that the Federal Reserve anticipates slowing the pace of interest rate hikes going forward. Looking at the week ahead, investors will be focusing on 1.) the Chinese protests on Covid restrictions and 2.) additional guidance from the Federal Reserve (i.e. Chairman Jerome Powell will speak on Wednesday afternoon about the economy and the labor market).
Economic reports from last week came back mixed: •Manufacturing (Richmond) - lower than expectation •New Home Sales - higher than expectation •Consumer Sentiment - higher than expectation •Jobless Claims - higher than expectation This week, investors will look for guidance from economic reports like Manufacturing, Housing, Consumer Confidence, Employment, Job Openings, Personal Income, Construction Spending, Vehicle Sales and Jobless Claims.