Market Recap 08/11/2021

  • Market Recap 08/11/2021


    Market Recap

    November 8th, 2021

    Markets

    Markets rallied on renewed risk-on sentiment following relatively dovish Fed policy announcement, strong earning results and healthy economic data.  The US small-mid cap indices (4.0-6.5%) significantly outperformed their large-cap  (1.4-3.1%) counterparts.  The VIX (1.4%) edged higher

    Sectors

    Growth outperformed value.  Consumer discretionary (5.0%) continued to lead for the second consecutive week, on an additional +10% rally to TSLA.  Healthcare (0.7%) and financials (0.6%) were the only sectors to finish in red

    Rates

    Yields plunged following the Fed’s mild tapering announcement, alleviating fears of abrupt tightening.  The tapering will take place later this month, and is expected to end by mid-2022.  The Fed continues to view inflation as “transitory” and expects a further improvement in the labor market before raising rates.  The MOVE index (11.3%) plunged

    Commodities & FX

    Oil (2.8%) edged lower as the US hinted at a possibility to release strategic petroleum reserves.  Gold (2.7%) and silver (1.2%) rose, while the USD (0.1%) remained generally muted vs. major currencies basket

    Last Week's Headlines

    Our Favorite Charts

    US Supply Chain Stress Tracker

    Source: Oxford Economics, Haver Analytics

    Ticking Bomb: Working-Age Population

    Source: UN

    Market Performance

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