It’s been a busy week with a lot of economic signals so here’s a wrap-up of all the action.
The main sticking point for stock market participants is that the Fed thinks continued rate hikes are appropriate to curb inflation while the economic backdrop is weakening. So, investors remain hesitant to pay a premium for 2023 earnings that are likely going to be subject to downward revisions.
The resulting buyers’ strike has declining issues leading advancing issues by a greater than 4-to-1 margin at the NYSE and a nearly 3-to-1 margin at the Nasdaq.
The Treasury market trades in mixed fashion. The 2-yr note yield is down five basis points to 4.20% and the 10-yr note yield is up three basis points to 3.48%.