FINANCIAL STOCK MARKET  WEEK "Despite a late-week surge, stocks closed lower last week" 04/8/2024 by Wendy Nelson" 

The Markets (as of market close April 5, 2024)

Despite a late-week surge, stocks closed lower last week.  Investors saw the continued strength of the labor market (see below) as increasing the chances of a soft landing for the economy, while potentially delaying the Federal Reserve from cutting interest rates.  Each of the benchmark indexes listed here lost value, with the Russell 2000 and the Dow falling more than 2.0%. Ten-year Treasury yields rose as bond prices slid. Communication services, energy, and materials were the only market sectors to end the week ahead.  Gold prices continued to surge, while crude oil prices rose by over 4.4%. Rising inflation, increased travel, a reduction in production, and the ongoing conflicts in the Middle East have contributed to the rise in crude oil prices.

Stocks opened last week mixed on the first day of trading for the second quarter of the year.  The Russell 2000 fell 1.0%, the Dow and the Global Dow dipped 0.6%, while the S&P 500 declined 0.2%.  The Nasdaq eked out a 0.1% gain. Long-term bond prices fell, as yields rose 12.3 basis points on 10-year Treasuries, which closed the session at 4.32%.  Crude oil prices rose $0.71 to reach about $83.88 per barrel.  The dollar gained 0.4%, while gold prices jumped 1.4%.

Last Tuesday saw stocks slide as bond yields and crude oil prices vaulted higher. Each of the benchmark indexes listed here closed in the red, with the small caps of the Russell 2000 losing 1.8%.  The Dow and the Nasdaq fell 1.0%, the S&P 500 dipped 0.7%, and the Global Dow declined 0.3%. Bond values continued to struggle as yields on 10-year Treasuries closed at 4.36%, nearing their highest levels in 2024. Crude oil prices rose to a nearly six-month high after settling at about $85.10 per barrel. The dollar lost 0.2%, while gold prices reached an all-time high after gaining 1.81% to close at $2,296.90 per ounce.

The Dow ticked down 0.1% to extend its losing streak to three days last Wednesday. The remaining benchmark indexes listed here posted gains, led by the Russell 2000 (0.5%), followed by the Global Dow (0.3%), the Nasdaq (0.2%), and the S&P 500 (0.1%). Investors paid particular attention to Federal Reserve Chair Jerome Powell's comments that the Fed will not lower interest rates unless there is sustained evidence of decreasing inflation.  He also mentioned that the Fed has been successful in navigating a soft landing despite the impact of higher rates on the economy. Ten-year Treasury yields inched down to 4.35%. Crude oil prices rose again, settling at about $85.66 per barrel. The dollar fell 0.5%, while gold prices rose 1.7%.

Wall Street closed notably in the red last Thursday as each of the benchmark indexes listed here lost value. The Dow dropped 1.4%, marking the largest single-day decline since March 2023. The Nasdaq fell 1.4%, the S&P 500 declined 1.2%, the Russell 2000 lost 1.1%, and the Global Dow dipped 0.3%.  Bond prices rose higher as yields on 10-year Treasuries fell 4.6 basis points to 4.30%. Crude oil prices gained 1.5% to reach $86.69 per barrel. The dollar was flat, while the rally for gold prices ended as they fell 0.4%.

Stocks rebounded to close out the week last Friday. The Nasdaq led the benchmark indexes listed here, gaining 1.2%, followed by the S&P 500 (1.1%), the Dow (0.8%), and the Russell 2000 (0.5%). The Global Dow edged 0.1% lower. Ten-year Treasury yields gained 6.9 basis points to end the week at 4.37%.  Crude oil prices ticked up minimally. The dollar rose 0.2%, while gold prices gained 1.5%.

• STOCK MARKET INDEXES
• LAST WEEK'S ECONOMIC NEWS
• EYE ON THE WEEK AHEAD

Wendy Nelson, CEO of Wind River Wealth Advisors, aims to provide beneficial investment management, retirement planning, financial planning, asset management, and portfolio management to protect your money with knowledgeable strategies and plans by utilizing a personal independent financial advisor.