The week 11.07.-15.07.2022

A rally on Friday following a strong report on monthly retail sales was insufficient to offset the stock market’s poor start to the week. Major US indices fell for the 12th week out of the past 15. The Consumer Price Index climbed to 9.1%, the highest level since November 1981, after rising to an annual pace of 8.6% in May. Core inflation reached 0.7% month on month, up from 0.6% in the previous two months, excluding volatile energy and food prices.
With the annual inflation rate in the United States currently at 9.1% , officials will be under pressure to approve another large interest-rate rise at the United States Federal Reserve policy meeting on Wednesday. The Fed raised its short-term target range by three-quarters of a percentage point at its mid-June meeting, the largest increase since 1994, and a similar steep increase is expected ahead of this week’s meeting, with some economists anticipating rates to rise by a full percentage point.
Our reference index, the S&P 500, ended the week down with -0.46%. One-Signal closed the week in the green, with Xpress returning 1.88% and Xpert returning 0.61%.