Last Week’s Summary
- S&P 500 Index rose 1.13%
- International Equities fell 0.35%
- Emerging Markets fell 1.66%
- U.S. 10-Year Treasury Yield rose to 4.10%
- Initial Jobless Claims rose to 258k
- CPI fell to 2.4%; Core rose to 3.3%
- PPI rose to 1.8%; Core rose to 2.8%
- U. of Mich. Sentiment fell to 68.9
- U. of Mich. 1-Yr Inflation rose to 2.9%
What to Watch for This Week
- T, 10/15/24 Empire Manufacturing
- W, 10/16/24 MBA Mortgage Applications, Import Price Index
- Th, 10/17/24 Initial Jobless Claims, Retail Sales Advance, Industrial Production, Continuing Claims
- F, 10/18/24 Housing Starts
Weekly Market Recap
The S&P 500 closed just below a new all-time high after setting a new top earlier in the day Friday, marking its 46th record this year, with a gain of 0.3%. The Nasdaq 100 rose 0.5%, while the Dow Jones Industrial Average slipped by 0.2%.
Tesla Inc. rebounded after last week’s 13% decline, while Apple Inc. gained following an upbeat analyst call. Nvidia Corp. led the chipmaker rally. Third quarter earnings season unofficially kicked off on Friday, with financial giants leading the way. Investors entered the week with optimism, looking to corporate earnings for further confirmation of a potential soft economic landing.
JPMorgan Chase & Co. surprised the market with an unexpected increase in net interest income, which led it to rally 4.4% on Friday, the largest single-day move since March of last year. Wells Fargo had an 18% surprise in their EPS, which led it to finish the day up 5.6%.
The next week ahead more major companies, including Goldman Sachs, Netflix, and JB Hunt Transport Services, are set to report their results this week. Analysts have been forecasting the weakest earnings growth in the past four quarters for the S&P 500, with a year-over-year increase of just 4.3%.
60-Second Breakdown:
Redwood Senior Analyst Michael C. Sasaki, CFA® discusses recent market performance and explains this week’s chart.
