How Will the S&P 500 Index Perform Towards the End of 2022?
19 Dezembro 2022 - 6:53AM
Finscreener.org
Equity markets in the United
States continued to trend lower in the week ended on December 16,
2022 due to the 0.5% interest rates hike by the Federal Reserve as
well as disappointing retail sales data.
Major indices such as the
Dow Jones, the
S&P 500 and
the Nasdaq Composite fell by 1.7%, 2.1% and 2.7% respectively in the
last five trading sessions. Further, the fears of a global
recession meant the yield curve remain deeply inverted. The 10-year
Treasury note currently yields 3.49% while the two-year note yields
4.19%.
Oil prices continued to tumble on
Friday and reversed gains from earlier trading sessions as rising
bond rates and a fall in industrial output across developed
economies has worsened outlook for global energy demand.
The price of WTI crude which is the U.S. benchmark fell to $74 per
barrel on Friday, compared to $78 per barrel last
Wednesday.
Additionally, a report from
Investopedia states, “A bill to fund the government through Sep.
30, 2023—the end of the current fiscal year—is expected to pass
Congress next week, after the U.S. Senate passed a record $858
billion annual defense bill and stopgap spending bill to extend
current government spending levels by a week, giving negotiators
more time to pass a full-year deal.”
Key macro developments to watch out for this
week
The housing market will be under
the radar as the NAHB Housing Market Index will release on Monday,
while data for housing starts and building permits will be
published on Tuesday. Further, data on new and existing home sales
for the last month will release later this week.
Housing starts are forecast to
fall to 1.415 million in November from 1.425 million units in
October. Existing home sales are also expected to fall to 4.2
million units from 4.43 million units in this period, after peaking
at 6.5 million in January. In fact, existing home sales have fallen
to their lowest levels in more than a decade, after excluding for
pandemic-related disruptions in the first half of 2020, due to
higher mortgage rates, limited supply and declining
affordability.
Data on new home sales will
release on Friday and is likely to fall to 608,000 in November,
from 632,000 in October.
The Bureau of Economic Analysis
or the BEA will issue Personal Consumption Expenditures or PCE
price index for November on Friday. The PCE is the Federal
Reserve’s preferred metric for inflation.
The PCE is estimated to increase
by 5.5% year over year, lower than the 6% gain experienced in
October. Moreover the core rate which excludes costs associated
with food and energy is expected to touch 4.7% for the month of
November, from 5% in October.
The PCE Price Index tracks the
purchasing decisions of consumers much more accurately, compared to
the Consumer Price Index metric. The PCE consists of a basket of
goods that is updated frequently and reflects changes in consumer
preferences. On the other hand, the consumer price index consist of
a fixed basket of goods and services that are not updated as
frequently.
Finally, corporate earnings for
publicly listed companies including Nike
(NYSE: NKE), Carnival Crop
(NYSE:
CCL),
Micron (NASDAQ:
MU) and
General Mills (NYSE:
GIS) are also due in the
week ending on December 23.
Nike (NYSE:NKE)
Gráfico Histórico do Ativo
De Abr 2024 até Mai 2024
Nike (NYSE:NKE)
Gráfico Histórico do Ativo
De Mai 2023 até Mai 2024