The week 24.01-28.01.2022

A rather positive overall result of the major U.S. stock indexes concealed an extremely tumultuous week, one that stoked greater fear following market falls in the preceding three weeks. The S&P 500 briefly entered correction territory on Monday, with a low point in intraday trading that was more than 10% below a three-week-old record high. However, by the end of the day, the index had risen beyond the correction area, and the pattern had repeated itself for the next four days, with intraday lows more than 10% below the January 3 high but closing levels above the correction zone.
In the final three months of 2021, the US economy picked up steam, growing at a 6.9% annual rate in Q4. Inflation-adjusted GDP growth in 2021 was 5.7%, the fastest rise since 1984, as the country quickly recovered from the pandemic-induced slump in early 2020.
FED policymakers stated that they are on track to start raising short-term interest rates at their next policy meeting in mid-March, as expected. The Fed did not say how many more rate hikes it expects this year as it strives to avoid a further rise in already-high inflation.
The S&P 500 closed the week in positive territory with +0.16%. One Signal Xpress outperformed the benchmark with 0.27%. The winner of the week was US T-Bonds with 2.31%.