Advertise on podcast: FactSet Evening Market Recap

US equities were mostly lower in Monday trading, ending near worst levels though downside modest. Nothing really incremental from a narrative perspective ahead of some more meaningful potential macro catalysts late in the week. In macro news, today's record $63B 2Y auction saw a slight tail, the weakest bid-to-cover since March 2023 while the $61B 5Y auction tailed by 0.8bp.

US equities were mostly higher this week as the S&P 500 and Nasdaq were up for the 15th time in the past 17 weeks. There were a number of moving pieces this week, though the key bullish narrative was AI optimism after Nvidia earnings. Fedspeak continued to lean hawkish, though officials including Governor Waller and New York's Williams continue to say they still expect cuts this year.

US equities ended higher and near best levels in Thursday trading, with S&P logging a new all-time high and the Nasdaq having its best session in more than a year. In macro news, initial jobless claims came in below consensus, the lowest since early January and continuing claims was also light of forecasts. Today’s risk-on session was driven by the latest bout of AI enthusiasm following another blowout quarter and guidance from NVIDIA, which finished up +15.3%.

US equities finished mixed in Wednesday afternoon trading, ending near best levels, with the Dow Jones and S&P500 both finishing up 13bps while the Nasdaq closed down 32bps. Latest FOMC minutes noted most officials flagged the risks of cutting rates too early, though some policymakers pointed to downside risks of maintaining higher rates for too long. Fed’s Governor Bowman said time for lower rates is certainly not now, while Richmond's Barkin said question now is how long disinflation will take. Market now focused on nVidia earnings after the close.

US equities finished lower in fairly quiet Tuesday trading, though the equal-weight S&P held up better than the official index. Small-caps more than erased last week's gains. Today saw a lot of drag from NVDA ahead of its earnings, a dynamic that weighed on the broad semi space. Came after market leaned risk-off last week with the hotter-than-expected CPI and PPI prints driving another hawkish repricing of Fed pivot expectations. Fairly quiet week ahead form a macro perspective though FOMC minutes are out on Wednesday afternoon and Thursday brings a flurry of Fedspeak.

US equities ended mostly higher this week with the Russell 2000 again outperforming the S&P despite over 4% drawdown on Tuesday following hotter CPI print. Treasuries were weaker with some curve flattening. Dollar index was slightly up the greenback having strong performance on the yen cross. This week's focus was on CPI and PPI readings coming in hotter than expected lending support for the "higher for longer" Fed rate cut narrative and prompting some risk-off sentiment.

US equities ended higher Thursday, just off best levels. The bounce following Tuesday's CPI drawdown has been chalked up to several dynamics, including the potential "January effect" on the print, somewhat dovish Fedspeak, a still favorable setup surrounding Fed pivot and resilient US growth backdrop, stable 2024 consensus earnings estimates amid heightened focus on operational efficiency, and an intact disinflation narrative. It's been a huge day of economic releases, including January retail sales, which dropped more than expected, and December’s was revised lower.

US equities finished higher in Wednesday trading, ending at best levels in a rebound from Tuesday's sharp selloff, with the Dow Jones, S&P500, and Nasdaq closing up 40bps, 96bps, and 130bps respectively. Annual PPI revisions saw December headline and core revised slightly lower. Chicago Fed President Goolsbee said slightly higher inflation over coming months still consistent with path back to 2% target.

US equities under pressure in Tuesday trading, though stocks ended well off worst levels. Small-caps underperformed with Russell 2000 posting worst session since Jun-22. Hotter-than-expected January CPI drove risk off. Some focus on disappointing earnings, particularly in tech and industrial, though high bar seems to be an issue for former. Headline CPI increased 0.3% m/m and 3.1% y/y, ahead of the 0.2%/2.9% consensus.

US equities were mixed in Monday trading with the S&P and Nasdaq ending near worst levels. Recent sell-side research and financial press headlines have focused on a stronger US growth backdrop, among other factors. January NY Fed one-year inflation expectations remain unchanged from December, though still the lowest since November 2020, while three-year expectations are the lowest since March 2020.

The S&P 500 posted another record close this week, finishing above 5000 for the first time on Friday. This week's CPI revisions were little changed, as expected. This week also saw some favorable pieces in the disinflation traction narrative, including the Manheim Used Vehicle Index down the most y/y since July.

US equities finished higher in Thursday afternoon trading, near best levels though the S&P again failed to end above 5000. Initial and continuing claims both came in below consensus despite the theme of increasing layoff announcements. No big directional drivers in play this morning, but another barrage of earnings is dominating the headlines.