- Domestic stocks flourished last week as investors reacted to positive earnings and hints the Fed may reduce the size and frequency of interest rate hikes. The S&P 500 produced its best weekly gain in four months.
- Some companies worth mentioning include airline juggernauts United and American Airlines. Both firms reported record revenue last quarter as consumers continued traveling for business and leisure despite higher costs. Netflix said it added 2.4 million new subscribers last quarter, double expectations. The streaming giant is focused on password crackdowns and is in the early stages of using ad-supported content. Procter & Gamble is on pace for its first annual sales decline in five years. The firm plans to reduce some marketing expenses but not the headcount it grew during the pandemic to meet consumers’ demand.
- Within the S&P 500 Index, energy outperformed even though President Biden announced the release of another 15 million barrels from the Strategic Petroleum Reserve likely sometime in December. The utilities and consumer staples were only up a couple percent each to round out the bottom sectors.
- Large-cap stocks led small-caps and growth beat value last week, turning all size and style buckets positive for the fourth quarter thus far.
