top of page

Unexpected Move For Markets

  • Writer: Scott Poore, AIF, AWMA, APMA
    Scott Poore, AIF, AWMA, APMA
  • May 8, 2023
  • 2 min read

Equities were lower for the week despite the Fed hinting at a pause in future rate hikes.

First quarter corporate earnings are having their best performance, relative to analysts’ expectations, since the first quarter of 2021. So far, 79% of S&P 500 companies have out-paced earnings estimates and 75% have beat on revenue estimates. Last week, the market was focused on the FOMC meeting. As was largely expected, the Fed raised rates 25 basis points and hinted at a rate hike pause moving forward. While economists had expected the market to respond positively to the announcement, equities headed lower on Wednesday and Thursday following the announcement. Friday saw a nice rebound, but it was too late to help equities turn positive by week-end.


More drama around regional banks kept markets skittish, although positive news on Friday revealed a much lower usage by banks of the Fed’s Discount Window and Money Market Flows resumed its downward trend.

Last week’s Labor Report showed another surge in jobs of +253,000. The Unemployment Rate declined, indicating an economy still on solid footing as the last rate hike is now in the books. Investors will be watching the inflation numbers this week as “sticky inflation” has become the new buzz word. If inflation declines for April, it would mark the 10th consecutive decline, year-over-year. Expect more choppy trading this week as markets continue to digest the meaning of a "hawkish pause."


 

Disclosures


The information contained herein is for informational purposes only and is developed from sources believed to be providing accurate information. The opinions expressed are those of the author, are for general information, and should not be considered a solicitation for the purchase or sale of any security. The decision to review or consider the purchase or sell of any security should not be undertaken without consideration of your personal financial information, investment objectives and risk tolerance with your financial professional.


Forecasts or forward-looking statements are based on assumptions, may not materialize, and are subject to revision without notice.


Any market indexes discussed are unmanaged, and generally, considered representative of their respective markets. Index performance is not indicative of the past performance of a particular investment. Indexes do not incur management fees, costs, and expenses. Individuals cannot directly invest in unmanaged indexes. The S&P 500 Composite Index is an unmanaged group of securities that are considered to be representative of the stock market in general.


Past Performance does not guarantee future results.

コメント


EGBug.png

In Greek, Eudaimonia (U•da•mōn•ēya) means contented state of health, happiness and prosperity.

INDEPENDENCE FOR FINANCIAL ADVISERS

 

615.205.3510 | thrive@eudaimoniaRIA.com
 

818 18th Avenue South, Suite 950
Nashville, Tennessee 37203

1791 Bypass Road

Winchester, TN 37398


 

Investment advisory services offered through Eudaimonia Partners, LLC, Eudaimonia Advisors, LLC and Eudaimonia Asset Management, LLC, our federally registered investment advisors. Eudaimonia Partners, LLC, Eudaimonia Advisors, LLC and Eudaimonia Asset Management, LLC are affiliated registered investment advisors under common ownership and control of Eudaimonia Group. LLC.

KEAP_Hero.png
Subscribe to the EG Blog

Thanks for subscribing! You will be notified when a new blog post is made.

©️ 2016-2025 Eudaimonia Group LLC. All Rights Reserved. 

Website Disclosures and Terms of Use

Regulatory Disclosures

Newsweek_TopAdvisors.png
bottom of page