Another losing week for stocks and a continuing rough start to 2022 - the third straight week of losses. After the worst week since 2020, investors now turn their attention to the Federal Reserve’s January two-day policy meeting, which is set to start on Tuesday. By mid-week, the Federal Reserve will announce their timeline for raising interest rates and tightening monetary policy. Added market volatility should be expected.
Economic reports from last week came back mostly negative: •Manufacturing (New York) - worse than expectation •Manufacturing (Philadelphia) - better than expectation •Homebuilder Sentiment - worse than expectation •New Residential Construction - better than expectation •Existing Home Sales - worse than expectation •Jobless Claims- worse than expectation This week, investors will look for guidance from economic reports like National Activity, Housing, Consumer Confidence & Sentiment, Manufacturing and Jobless Claims.