Weekly Market Update

Weekly Market Update for the Grand Protector

After a tumultuous week, US stocks posted gains on Friday as the Supreme Court ruled that most of President Trump's tariffs were illegal. The S&P 500 rose almost 0.7%, while the Dow Jones Industrial Average gained roughly 0.5%. The tech-heavy Nasdaq Composite led gains, up nearly 0.9%.

The court's decision was a welcome relief for investors, who had been concerned about US-Iran tensions and private credit jitters. Stocks in sectors exposed to tariffs, such as footwear and furniture makers, jumped over 2%. Big tech companies also advanced, with Alphabet rising 3% and Amazon gaining about 2%.

However, the week was not without its challenges. AI-related concerns continued to simmer, with investors weighing the long-term impact of AI on business models and corporate competition. The Fed's minutes showed some policymakers leaning toward holding rates steady, while others suggested rate cuts could be in store if inflation comes down.

Inflation data released by the Bureau of Labor Statistics showed that consumer prices increased 0.2% in January from a month earlier, and 2.4% on an annual basis. This cooling of inflation may shape expectations for an already complicated Federal Reserve policy.

Earnings season entered its last stretch this week, with Walmart's quarterly report being the highlight. The retail giant joined the trillion-dollar market cap club after reporting strong sales growth. Other companies that reported earnings included Rivian, which saw its shares soar by over 25% following a beat in its fourth-quarter results.

Key Statistics:
• S&P 500: rose almost 0.7%
• Dow Jones Industrial Average: gained roughly 0.5%
• Nasdaq Composite: led gains, up nearly 0.9%

Notable Stocks:
• Walmart (WMT): reported strong sales growth and joined the trillion-dollar market cap club
• Rivian (RIVN): saw its shares soar by over 25% following a beat in its fourth-quarter results
• Alphabet (GOOG): rose 3%
• Amazon (AMZN): gained about 2%

Economic Indicators:
• Inflation rate: 2.4% annually
• US GDP growth came in at 1.4%, far behind forecasts