John Hancock: Weekly Market Recap Week Ended April 11

CPI improvement

Amid concern that higher tariffs could fuel inflationary pressures in coming months, the government’s Consumer Price Index fell to the lowest level in four years. Inflation posted a 2.4% annual rate in March, down from 2.8% in February. On a month-over-month basis, prices declined 0.1%—the first such monthly decline since May 2020.

Gold record

The price of gold climbed for the fifth week out of the past six, extending a year-to-date surge that pushed the precious metal’s price above the $3,200-per-ounce level for the first time. On Friday afternoon, gold was trading around $3,250, up 7% for the week and 22% year to date.

Solid earnings

As major U.S. banks opened quarterly earnings season on Friday, analysts were forecasting that first-quarter earnings for all companies in the S&P 500 rose by an average of 7.3% overall, according to FactSet. If results remain positive by the time earnings season concludes, it would mark the seventh consecutive quarter of year-over-year earnings growth.

High anxiety

A measure of investors’ expectations of short-term U.S. stock market volatility surged on Monday and briefly reached the highest level in five years. Despite a series of big intraday swings throughout the week, the market eventually calmed, and the Cboe Volatility Index was down around 17% for the week.

SOURCE: https://www.jhinvestments.com/weekly-market-recap#market-moving-news