Despite a real lack of substantial market moving data. The week that wasn’t finished with notable losses to close lower since last Friday. The S&P 500 lost 37 points or .54%. the NASDAQ fell 218 points or .95% while the DOW dropped 691 points or 1.39%. Leaving the major averages mixed year to date on volatile trade.

Economics and Earnings

Inflation refused to play nice. January’s PPI came in well above consensus (hotter headline and core readings), feeding directly into PCE calculations and dialing back already-low odds for near-term Fed cuts. The 10-year Treasury yield bounced around but stayed elevated enough to remind everyone that borrowing costs aren’t dropping anytime soon. Nvidia’s earnings delivered solid numbers, but guidance fizzled. Causing the narrative to flip-flop again.

On Again Off Again

Tariffs were off again very briefly after the Supreme Court struck them down in a widely expected decision. Only to see them resurrected mere hours later under a different set of regulations. Much to the dismay of the Democrats. Who weren’t happy with the State of the Union speech either. Inflation was back on with an above consensus PPI reading for January. While lower interest rates were off again as the justification for lower rates just isn’t there despite president Trumps insistence. Last but not lease the Sabre rattling with respect to Iran was on again. Markets hate uncertainty, and it shows at the end of the week that wasn’t.

Have a great weekend, I’ll be back next Friday.