Stocks remained solid because Wall Street shrugged, as there were only “meat injuries” last week
Stocks made a modest comeback to kick off the week’s start as investors shrugged Friday at the worst trading moves of the year, when fears inflation and economic uncertainty dragged on major indexes.
In afternoon trading, the Dow Jones Index (^dji) rose 0.5%, while the benchmark S&P 500 (^gspc) grew by about 0.2%. Bearing by Palantir (PLTR) stock, Nasdaq High Technology’s Nasdaq (^i tocie) fell 0.2%, and the company fell another 8% in a report on government budget cuts.
“Thursday to Friday decline promoted this decline,” Tom Lee wrote in a note to clients on Monday. Microsoft reported some decisions to cancel some leases for data center capacity,” he wrote. .
“While these concerns have merits, we also think that these issues may be just a affirmation of these stocks ‘physical wounds’,” Lee said.
As of 3:36:24 PM ET. The market is open.
^dji ^gspc ^i tocie
According to Lee, NVIDIA’s (NVDA) earnings on Wednesday could be “positive” to stocks, while Friday’s PCE data “may confirm that inflation is tracking lower.”
The odds of lowering interest rates may also double in recent weeks, “reflecting some concerns about consumer softness, but also a reminder that the Fed’s ‘voting’ is working.”
Read more: How the Fed’s tax rate decision affects your bank account, loans, credit cards, and investments
“Bottom line: Investors are ‘buying dipping sauce’ because 2025 tracking is better than expected,” Lee said.
Stocks have been moving higher since the beginning of the year, with the S&P 500 hitting two record highs last week alone. It is worth noting that the index has recorded 35 meetings without consecutive declines of more than 1%, the longest consecutive record since late December, which is only three in the past year. The phenomenon of time.
“Everyone has really entered the market since November,” Michael O’Rourke, chief market strategist at Jonestrading, told Yahoo Finance in an interview on Monday. “Everyone is very optimistic and very optimistic. [but] We have a long way to go, and all these optimistic Trump policies can be established. ”
By then, possible policy uncertainty could create some market volatility in the coming months as traders try to properly price risk.
