Market View

The Federal Reserve cut interest rates by 50 basis points, helping to spur a rally in the broader equity markets this week. In the Fed’s latest economic projections, it lowered the 2024 GDP forecast to 2.0%, it raised its year-end unemployment rate forecast to 4.4%, and reduced its core PCE estimates down to 2.6%. The Canadian dollar was 73.74 cents USD. The U.S. S&P 500 ended the week up 1.5%, while the TSX was up 1.1%. 

The more cyclical and high-growth sectors were big winners this week, with consumer discretionary rising 1.5%, tech surging 3.6%, financials were up 1.5%, energy up 3.0%, and health care up 3.9%. Utilities fell 1.8%, consumer staples fell 2.2%, and real estate declined by 1.1%. The materials sector saw a 1.0% gain on the week, and industrials were slightly down on the week, declining 0.7%. The most heavily traded shares by volume were TC Energy Corporation, Cenovus Energy, and Athabasca Oil. 

5 from 5i

Here are five reads we found interesting last week:

• What if You Only Invested at Market Peaks? By Ben Carlson of A Wealth of Common Sense
• No, Casino Gambling Isn't More Lucrative Than Day Trading By John Rekenthaler of Morningstar
• When it Comes to Investing, Opt for Boring Over Exciting by Robert Lockie of the Financial Bodyguard
• The Jackpot Generation by Katrina Onstad of Maclean's
• Should You Ignore Past Stock Market Returns? By John Rekenthaler of Morningstar

Happy Reading & Stay Safe!

Disclosure: The analyst(s) responsible for this report do not have a financial or other interest in securities mentioned.