Stocks closed their first full week of trading in 2023 on a high note, building on strong gains from December: The heavy Nasdaq posted its second straight week in the black, up 4%, while the S&P rose 2% and the Dow added more than 1%. %. The December report on consumer prices on Thursday certainly helped. The headline figures met economists’ expectations and showed that inflation continues to decline. But it was the underlying findings, particularly with regard to shelter costs — the most likely component of the index — that indicated that one of the main sources of inflation was about to slow. While that view is driving optimism among investors and has helped the major averages take off strongly this year, comments from Fed officials remain hawkish. And while the strong market breadth could help consolidate recent gains, we do not recommend chasing the move as we are overbought as indicated by the S&P Short-Range Oscillator. Also, earnings season is just beginning, when we’ll learn more about what companies are seeing on the ground. As a reminder, the markets will be closed on Monday, January 16th in honor of Martin Luther King Jr. Day. The full list of market holidays is available here. Consumer discretionary led the upward trend, followed by technology and real estate, while consumer goods led the downward trend followed by healthcare. Meanwhile, the US Dollar Index fell back to around 102. Gold advanced to a low area – $1900 an ounce. WTI prices have rebounded back to $80 a barrel while the 10-year Treasury yield is around 3.5%. Looking back inside the portfolio, we received earnings results from Wells Fargo (WFC). It was a relatively light week for the data. On Thursday, however, the Consumer Price Index for December was released and the headline numbers were largely in line with Wall Street’s expectations. However, we saw a lot to encourage under the hood. Also on Thursday, Initial Jobless Claims for the week ending Jan. 7 came in at 205,000, down 1,000 from the previous week and less than the expected 215,000. What lies ahead for the fourth quarter earnings season is upon us. We’ll hear from Club Hold Morgan Stanley (MS) next week on the Tuesday before the opening bell, and from Procter & Gamble (PG) on the Thursday before the bell. Here are some earnings reports and other economic numbers to watch next week: Tuesday, January 17th Before the bell: Citizen’s Financial (CFG), Goldman Sachs (GS), Signature Bank (SBNY), Silvergate Capital (SI) After the bell: United Airlines (UAL), Pinnacle Financial (PNFP), Progress Software (PRGS), Interactive Brokers (IBKR) Wednesday, January 18 before the bell: Charles Schwab (SCHW), JB Hunt (JBHT), PNC Financial (PNC), Prologis (PLD) After the bell: Alcoa (AA), Discover Financial (DFS), First Horizon National (FHN), HB Fuller (FUL), Kinder Morgan (KMI) 8:30 a.m. ET: PPI 8:30 a.m. ET: Retail Sales 9:15 a.m. ET: Industrial Production and Capacity Utilization Thursday, Jan. 19 before the bell: Comerica (CMA), Fastenal (FAST), 5th Third Bancorp (FITB), KeyCorp (KEY), M&T Bank (MTB), Northern Trust ( NTRS) after the bell: Bank OZK (OZK), Concentrix (CNCX), Netflix (NFLX), PPG Industries (PPG), SVB Financial (SIVB) 8:30 a.m. ET: longtime Primary Pat 8:30 a.m. ET: Housing Stars Friday, Jan. 20 before the bell: SLB (SLB), State Street (STT), Districts Financial (RF), Ally Financial (ALLY), Ericsson (ERIC), Huntington Bancshare (HBAN ) 10:00 a.m. ET: Home Current Sales (See here for a full list of shares in Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you’ll receive a trade alert before Jim places a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a share in his charity fund portfolio. If Jim talks about a stock on CNBC, he waits 72 hours after the trade alert is issued before executing the trade. The above investment club information is subject to our terms and conditions and privacy policy, along with our disclaimer. No fiduciary obligation or duty will be created by the staff, or created, by virtue of your receipt of any information provided in connection with Investment Club. There are no specific results or guaranteed profit.
People shop at Pioneer Supermarkets on January 12, 2023 in the Flatbush neighborhood in the Brooklyn borough of New York City.
Michael M. Santiago | Getty Images
Stocks closed their first full week of trading in 2023 on a high note, building on strong gains from December: The tech-heavy Nasdaq posted its second consecutive week in the black, up 4%, while the S&P rose 2% and stock prices rose 4%. Dow added more than 1%.
The December report on consumer prices on Thursday certainly helped. The headline figures met economists’ expectations and showed that inflation continues to decline. But it was the underlying findings, particularly with regard to shelter costs — the most likely component of the index — that indicated that one of the main sources of inflation was about to slow.
