In an attempt to build on the equity market’s four consecutive weeks of gains, Wall Street saw minimal movement in stocks on Monday.
Both the Nasdaq Composite and the S&P 500 had 0.1% and 0.2% declines, respectively. It was a 0.2% decrease of 66 points in the Dow Jones Industrial Average.
The three major averages on Wall Street had their fourth consecutive winning week. This is due to the fact that since the 10-year Treasury yield fell back from the 5% level it had temporarily reached in late October, equities have strengthened.
While e-commerce spending on Black Friday increased 7.5% over the previous year, some American retailers have warned that consumer spending is slowing down. Despite this, the rise has continued.
It’s possible that the Federal Reserve’s rate hikes are finally having an impact on the overall economy based on weak expenditure data.
According to a record-high percentage of consumers in the New York Fed’s most recent household survey, getting credit is now substantially more difficult. This is the expected outcome according to the textbook. The difficulty for customers to borrow money increases when the Federal Reserve hikes interest rates, according to a letter sent to investors on Sunday by Apollo Global Management senior economist Torsten Slok.
Source (CNBC)
