A Sober Start to 2024 | January 8th, 2024

Investors experienced a post-holiday market correction as the S&P 500 fell 1.5%, Nasdaq Composite dropped 3.2%, and Russell 2000 sank 3.8%. Tech sector woes were exacerbated by Apple's analyst downgrades. The bond market mirrored this trend with the 10-year Treasury yield surging 17 basis points to 4.03%. Despite positive job additions in December, downward revisions and concerns over wage increases hinted at a more nuanced economic picture. Looking ahead, the December CPI report and earnings season will be crucial, while potential government shutdowns and geopolitical tensions add a note of dissonance to an otherwise positive economic outlook for 2024.

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