Investing Update: Is The Rally Fading?
What I'm buying, selling & watching
The Dow closed Friday lower for the 7th trading day in a row. That’s the longest losing streak for the Dow since 2020.
The Russell has its worst week in a month.
The S&P 500 still hasn’t had a single day in December with more stocks up than down. That’s a little odd for a December which is historically one of the best months of the year and when you consider we’re in a bull market.
Market Recap
Weekly Heat Map Of Stocks
Inflation Remains Sticky
This week saw an inflation reading that was in line with forecasts, but still shows that there is work to do in hitting the Fed’s 2% goal.
CPI moved up from 2.60% in October to 2.75%. That’s in line with the expected 2.7% number but the number has been steadily rising since September’s 2.44%. Inflation remains sticky and seems to have stalled out.
Here is where inflation is and isn’t on a MoM basis.
Here is where inflation is and isn’t on a YoY basis.
The consensus is there will be a 25 basis point rate cut in interest rates by the Fed this upcoming week. I also fully expect that to be the decision. I love this chart that shows what inflation and rates have been doing all together in one chart.
