Edward Jones - Financial Advisor: Casey Adams

After a year in which nothing seemed to go investors' way, 2023 has, so far, been the polar opposite. Stocks are up handsomely while interest rates are down markedly. Last week brought a heavy dose of fresh information on each of the three central drivers for the market this year: the Fed, the jobs market and corporate profits. The outcome was another up week for the market, and while this recent rally is both welcome and reasonable, we don't think it should be viewed as confirmation that the coast is clear. In our latest Weekly Market Wrap, we share our thoughts on several popular market takes and what last week tells us about the path ahead.

Weekly market wrap A summary of last week's market highlights and economic news.

The U.S. headline CPI eased further, with December marking the smallest annual increase since October 2021. Paired with the November and October data, core inflation has now slowed for three consecutive months, suggesting that a pattern of disinflation is emerging. Price pressures remain too high for the Fed's comfort, but the gradual cooling likely sets the stage for the Fed to downshift further in the pace of rate hikes. Read our latest weekly market update for thoughts on what the recent data could mean for the markets and investment strategy.

Weekly market wrap A summary of last week's market highlights and economic news.

Markets took a bit of a breather this week after a strong rally higher over the last month. The focus on inflation and the impact it's having on interest rates continues to be the primary influence on market moves. But with fixed income yields now at their highest levels in 15 years, equities now have some competition, raising questions for investors around where to put their investment dollars today. We think this underscores the importance of aligning portfolio decisions with goals instead of emotions, and in this week's Market Wrap, we look at the decisions investors are facing and the opportunities that we believe lay ahead.

Weekly market wrap A summary of last week's market highlights and economic news.