- Markets
- Dow Jones Inustrial Average -1.3%
- S&P 500 -0.7%
- Russell 2000 -0.3%
- NASDAQ +0.2%
U.S. equity markets finished the week lower following the 10th consecutive rate hike from the Federal Reserve. The rate hike caused turmoil in the banking sector which led to one regional bank tumbling as much as 50% in a single day. Drops in the banking sector sparked recessionary fears and triggered selling across stock markets. Fortunately, other sectors of the market proved more resilient. Also contributing to equity declines was the fact that April jobs report showed stronger than expected job gains and an avergage hourly earnings increase. Both data points from the jobs report point toward higher income which the markets perceive as higher consumer spending and ultimately, higher inflation. The jobs report and the rate hike were large contributors to last week’s market declines.