The Strength of the Market is: Strong but Weakening

Last week, stocks tumbled and Brent Oil topped $110. Incidents in Iran seem to be worsening and investors are becoming more concerned with the energy supply. Stocks notched their fifth straight week of losses. Last week, the S&P 500 dropped 2.1%, the Nasdaq slid 3.2% and the Dow Jones lost 0.9%. Oil is at its highest price since the Summer of 2022. Comments by President Trump failed to encourage investors. Most recently, President Trump extended a deadline to attack Iran's energy infrastructure, with a new deadline date set to April 6. President Trump stated that talks are ongoing and are going very well. The announcement may be a signal that the Trump Administration is seeking to end the war. However, Iran's foreign minister reportedly told state media that Iran has no intention of holding talks with the US. In addition, the Pentagon may be considering sending another 10,000 troops to the Middle East. Investors are desperately looking for a resolution to end the war.

Economic reports from last week came back mostly negative:

•Construction Spending - lower than expectation

•Labor Productivity - lower than expectation

•Consumer Sentiment - lower than expectation

•Jobless Claims - in-line with expectation

This week, investors will look for guidance from economic reports like Manufacturing, Housing, Consumer Confidence, Employment, Retail Sales, Construction Spending, Vehicle Sales and Jobless Claims.