MARKET WATCH: MAY 22, 2023

The Markets (as of market close May 19, 2023)
Most of last week, investors seemed to react to negotiations concerning the debt ceiling. Despite a lackluster ending to the week, stocks closed generally higher. Tech shares climbed nearly 4.0%, while consumer discretionary stocks also posted gains. Overall, each of the benchmark indexes listed here ended last week higher, led by the Nasdaq, followed by the Russell 2000, the S&P 500, the Global Dow, and the Dow. In fact, the Nasdaq and the S&P 500 had their best week since March. Ten-year Treasury yields added 24 basis points. The dollar advanced, while gold prices slid. Crude oil prices gained about $1.70.

A jump in tech shares pushed stocks higher last Monday, as investors continued to focus on debt ceiling negotiations at the White House. The small caps of the Russell 2000 outperformed the indexes listed here, climbing 1.2%. The Nasdaq rose 0.7%, followed by the Global Dow (0.5%), the S&P 500 (0.3%), and the Dow (0.1%). Crude oil prices gained 1.8% to $71.28 per barrel, as OPEC+ prepared to cut supplies. Ten-year Treasury yields added 4.5 basis points to reach 3.50%. The dollar slipped, while gold prices inched higher.

Stocks declined last Tuesday as investors worried about the lack of progress on debt ceiling negotiations. The Russell 2000 gave back Monday’s gains after tumbling 1.4%. The Dow dipped 1.0%, followed by the S&P 500 (-0.6%), the Global Dow (-0.5%), and the Nasdaq (-0.2%). Bond prices also slipped, pushing yields higher. Ten-year Treasury yields rose 4.1 basis points to 3.54%. Crude oil prices reversed the prior day’s uptick, falling 0.9% to $70.49 per barrel. The dollar gained, while gold prices fell 1.4% to close under $2,000.00 per ounce for the first time this month.

Wall Street rallied last Wednesday, fueled by optimism that an agreement could be reached on the debt ceiling. The small caps of the Russell 2000, which is sensitive to economic developments, jumped 2.2% by the close of trading. The Nasdaq rose 1.3%, followed by the Dow and the S&P 500, which advanced 1.2%. The Global Dow climbed 0.5%. Crude oil prices reached the highest price in over a week closing at $72.75 per barrel. The dollar advanced, while gold prices fell. Ten-year Treasury yields settled at 3.58%, an increase of 3.2 basis points.

Stocks rose for a second straight session last Thursday, as investors received more encouraging news on a potential debt ceiling deal. Tech shares advanced, helping to move the benchmark indexes higher. The Nasdaq gained 1.5%, followed by the S&P 500 (0.9%), the Russell 2000 (0.6%), the Global Dow (0.4%), and the Dow (0.3%). Ten-year Treasury yields rose to the highest level in two months after gaining 6.7 basis points to 3.64%. Crude oil prices fell back, dropping 1.2% to $71.98 per barrel. The dollar increased for the third straight session, while gold prices declined for the third consecutive day.

Last Friday, an abrupt halt to debt ceiling talks sent investors scurrying away from stocks. Of the benchmark indexes listed here, only the Global Dow (0.2%) advanced by the close of trading. The Russell 2000 declined 0.6%, while the Dow, the S&P 500, and the Nasdaq slipped between 0.1% and 0.3%. Ten-year Treasury yields added 5.7 basis points to close at 3.7%. The dollar dipped, while gold prices advanced. Crude oil prices moved little, closing at around $71.83 per barrel.