U.S. equities rebounded sharply as Trump’s election victory and a Fed rate cut propelled indexes to record highs. International markets were mixed, with European stocks facing pressure and Asian markets boosted by China's stimulus announcement. Key economic data is set for release this week, offering further insights into inflation and manufacturing trends.
October markets ended in the red due to a late-month sell-off. The S&P 500 fell 0.9%, with international markets performing worse. Strong economic data pushed interest rates higher, impacting bonds and equities. Despite challenges, Q3 earnings growth and consumer spending remain robust. Key risks include inflation, stretched valuations, and geopolitical tensions. Freedom Family Office maintains a neutral equity allocation while seeking opportunities amid market volatility.
After six weeks of gains, U.S. equities pulled back as rising Treasury yields and mixed corporate earnings weighed on markets. Growth stocks outperformed, while small caps struggled. Key economic indicators showed resilience, but credit markets remain tactically unattractive. This week, all eyes are on GDP data, nonfarm payrolls, and consumer sentiment ahead of the U.S. election.
U.S. equities advanced amid strong earnings, with financials and small caps leading the way. The ECB shifted focus to economic growth with a second consecutive rate cut, while resilient retail sales complicated Fed rate-cut bets. Key economic data releases are on tap for the week ahead.
U.S. equities gained as key inflation data, Fed policy shifts, and strong bank earnings drove market sentiment. Global markets responded to central bank signals, with Europe advancing on rate-cut optimism and Asia mixed amid China’s stimulus uncertainty. Treasury yields climbed, reflecting stronger economic growth expectations.
This week’s market update highlights strong labor market data and ongoing global uncertainties as Q4 begins. September’s nonfarm payrolls added 254,000 jobs, reducing unemployment to 4.1%, which has tempered expectations for large Federal Reserve rate cuts. Oil prices surged over 10% due to Middle East tensions, though energy markets remain volatile. Markets gained stability following the resolution of the East Coast port strike, which briefly disrupted operations. Key inflation data and Fed minutes this week will provide further direction amid these geopolitical risks.