Daily Market Commentary

February 9, 2024

Bonds & Stocks
Wall Street got a bit of encouragement after an uneventful US inflation revision lifted stocks, with investors now shifting gears to next week’s data for clues on the Federal Reserve’s rate path. The S&P 500 topped 5,000. Treasury yields briefly fell in the immediate aftermath of the consumer-price index revision, but reversed that move and pushed slightly higher. The dollar fluctuated.

US inflation was about the same at the end of last year as initially reported after incorporating annual revisions, according to new data published Friday. Consumer prices excluding food and energy items rose at a 3.3% annualized rate in the final three months of 2023, matching the previous reading, Bureau of Labor Statistics data showed. Revisions to the headline figure were also minimal, though December’s monthly increase was marked down to a 0.2% advance instead of 0.3%.

The European Central Bank is signaling to lenders that they may face higher capital requirements if they have an insufficient handle on risks they face from commercial real estate, according to people familiar with the matter. The watchdog is placing greater emphasis on the management of commercial property risks, in a dialog with banks that comes before the annual bar for their financial strength is set, said the people, who asked to remain anonymous as the discussions are private.

The information represented herein was obtained from various sources, which we believe to be reliable. Neither the information presented nor opinions expressed constitutes an offer to buy or sell any security. And it is not intended to guide the investor on which securities to buy, or when to buy or sell.