Economic news for the week was largely focused on dramatic actions from Congress and the Federal Reserve, intended to stem damage from the coronavirus-related shutdowns that have just begun. Other released data from months prior to the virus outbreak is now largely considered ‘stale’, but included mixed results for new home sales and durable goods orders.
U.S. stocks lost ground last week, with small caps faring worse than large, as earnings for the second quarter began to command investors’ attention. By sector, only consumer staples and materials gained slightly, while all other segments fell into the negative for the week, led by declines in communications services and energy.
On a shortened trading week, U.S. stocks fared strongly, for the most part due to strong early sentiment on the heels of a partial truce in the U.S.-China trade war. Additional tariffs on hold for now, U.S. tech manufacturers can continue to supply Chinese telecom giant Huawei for now, while the Chinese have committed to purchasing greater amounts of U.S. agricultural products.
U.S. stocks fared especially well last week, as news was generally positive all around.