Weekly Update 22 August 2022
Stocks fell 1% last week as the rally that had started two months ago showed signs of exhaustion.
Stocks fell 1% last week as the rally that had started two months ago showed signs of exhaustion.
Stocks rose slightly last week despite the Federal Reserve sending a message that it is “nowhere near” done with its fight against inflation. www.ft.com/content/010544f6-95ba-4d42-8c99-4556b1590816 The reason for the Fed’s hawkish message is that although commodity prices have fallen, wage inflation continues to run hot. www.atlantafed.org/chcs/wage-growth-tracker The supply of workers has been reduced as a result …
Stocks rose strongly in July driven by weak sentiment, low expectations for company earnings which key companies exceeded, and lower interest rates. www.cnbc.com/2022/07/28/stock-market-news-updates-open-to-close-future.html The problem we have with this rally is that inflation, the underlying cause of the market’s difficulties this year, has not gone away. If anything, inflation pressures have broadened in recent months. …