Equities Continue to Adjust to Higher Interest Rates
Equities took a step back after 3 consecutive weeks of gains. High growth / momentum names took it on the chin last week as rising interest rates caused those stocks to look expensive.
Solid Jobs, Rising Inflation Paves Way for Continued Hikes
Investors, oddly enough, were disappointed by the solid Jobs print for March as it solidifies the Fed's current interest rate path.
Volatility Eases Making Way for Equity Rally
The S&P 500 Index has rallied 9.2% off March 14th lows. Equities are now within 3.3% of reaching the January 4th highs and erasing this year's losses.
The Fed Finally Moves
As expected, the Fed raised the Fed Funds Rate by 25 basis points at last week's meeting.
Inflation, Volatility, & Conflict
The conflict in Ukraine continues to cause volatility in the markets as world governments and corporations have ceased doing business with Russia. This action is likely to have long-term affects on commodities and the supply chain.
Strategic Petroleum Release, Strong Jobs, Fail To Ease the Markets
The U.S. consumes about 20.5 million barrels of oil daily. In fact, history has shown that declines in oil inventory (i.e., SPR releases) have had little impact on oil prices.