Unify Financial Advisors Weekly Market Update
Markets ended last week lower despite strong gains on Friday, as investors weighed rising energy prices, inflation, Treasury yields, and the increasing likelihood of a Federal Reserve rate hike. The Dow, S&P 500, and Nasdaq declined 1.57%, 0.80%, and 0.66%, respectively. Energy and communication services were the only sectors to post gains, while health care stocks fell more than 3.5%.
Economic data showed inflation picking up in August, with consumer prices rising 3.4% over the past year and producer prices increasing 5.4%. Existing home sales declined 2.0%, while weekly unemployment claims edged lower to 206,000. Meanwhile, the national average price of regular gasoline rose to $4.157 per gallon, reflecting continued energy price pressures.
Weekly Outlook
Investors will focus on the Federal Reserve’s upcoming meeting, its first since July. With inflation remaining elevated and job gains stronger than expected, the Fed may consider tightening monetary policy, potentially increasing its target rate by 0.25%.
Please read the full Market Week report for additional details on last week’s market and economic activity.
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