ndexes rose higher on Thursday, led by retail after several companies rose their guidance for the near. That came on top of easing concerns over an over-aggressive Fed.
Snap Inc. sent an ominous signal to the market by reducing guidance, causing tech and growth stocks to sell off heavily in the morning before recovering some of the losses.
Stocks rallied on Monday thanks to a stronger Euro after the European Central Bank said rate hikes would come later this year
The market continued to correct as the US Dollar strengthened and Treasury yields rose on Friday. Defensive sectors in the S&P 500 gained while other sectors sank
The Wednesday rally did not last and in a whiplash move markets sold off on Thursday, with some of the worst single-day losses since 2020.
Jerome Powell gave unexpected but specific guidance on not only today’s interest rate hikes, but also the next two. In addition, the specifics around reducing the balance sheet helped squash the fear that the Fed would move too fast.
There was less choppiness in a lighter volume trading day as investors way for the Fed interest rate decision on Wednesday.
A late rally helped stocks close higher on Monday as long-term Treasuries rose above 3% ahead of the Fed meeting this week