The Markets (as of market close June 2, 2023)Stocks began the week on a downturn, but rallied later to end last week higher. Each of the benchmark indexes listed here posted solid weekly gains, led by the Russell 2000, followed by the Nasdaq, the Dow, the S&P 500, and the Global Dow. Investors began the week concerned that the debt ceiling agreement between President Biden and House Speaker McCarthy would not pass the House and Senate. However, both chambers of Congress passed the debt ceiling bill later in the week, removing the risk of government default. In addition, investors may have been encouraged by a strong jobs report (see below), which is somewhat paradoxical as a strong labor market could support more interest rate hikes by the Federal Reserve. Nevertheless, Wall Street ended the week on a positive note. The Nasdaq rose for the sixth consecutive week, the longest weekly winning streak since January 2020. Despite a surge last Thursday and Friday, crude oil prices ended the week lower. The yield on 10-year Treasuries slipped lower, while the dollar changed little. Gold prices advanced nearly 1.0%. Stocks were mixed last Tuesday following the Memorial Day holiday. Despite an apparent debt ceiling agreement between President Biden and House Speaker McCarthy, investors remained jittery ahead of a Congressional vote. The Nasdaq (0.3%) was the only benchmark index of those listed here to post a gain. The S&P 500 ended the session flat, the Russell 2000 and the Global Dow fell 0.3%, and the Dow dipped 0.2%. Ten-year Treasury yields dropped 11.0 basis points to close at 3.70%. The dollar dipped lower, while gold prices rose 0.8%. Crude oil prices declined 4.0% to $69.75 per barrel, impacted by debt ceiling worries and reported tensions between Saudi Arabia and Russia ahead of an important OPEC+ meeting. Wall Street endured another sour day last Wednesday as investors remained concerned about the passage of the debt ceiling bill. In addition, the latest JOLTS report (see below) showed the number of job openings increased, raising the prospects of another interest rate hike by the Federal Reserve in June. The Global Dow fell 1.3%, likely impacted by China's lackluster industrial production report. The Russell 2000 dipped 1.0%, the Nasdaq and the S&P 500 lost 0.6%, while the Dow slipped 0.4%. Bond prices jumped higher, pulling yields lower. Ten-year Treasury yields lost 6.3 basis points to close at 3.63%. Crude oil prices fell 2.5% to $67.71 per gallon. The dollar and gold prices advanced. Equities advanced last Thursday as stocks kicked off June on an upswing, with each of the benchmark indexes listed here posting notable gains. No doubt investors were encouraged by the House's passage of the debt ceiling bill. The Global Dow (1.5%) led the way, followed by the Nasdaq (1.3%), the Russell 2000 (1.1%), the S&P 500 (1.00%), and the Dow (0.5%). Ten-year Treasury yields continued to trend lower, falling 2.9 basis points to settle at 3.60%. Crude oil prices rebounded, climbing 3.1% to reach $70.18 per barrel. The dollar slid lower, while gold prices advanced 0.7%. Stocks pushed higher last Friday on positive jobs data (see below) and the passage of the debt ceiling bill by Congress. The Russell 2000 jumped 3.6%, followed by the Dow (2.1%), which enjoyed its best day of the year. The Global Dow rose 1.7%, the S&P 500 advanced 1.5%, and the Nasdaq increased 1.1%. Ten-year Treasury yields closed at 3.69%. Crude oil prices increased 2.7% to $71.97 per barrel, the dollar edged higher, while gold prices declined.
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