S&P500
The US market was dominated by three negative factors during the week. The first factor was the acute phase of the Russia-Ukraine conflict. This conflict in turn led to a spike in oil prices to a whopping $130 last week. Oil then fell by $20. This was probably due to the sale of oil from the importing countries' reserves. Gas on the ICE exchange in Europe also rose momentarily to a huge $3,800, but then fell to $1,200. The second factor is the rise in US inflation in February to an annual rate of 7.9%, the highest since 1981-82. And the third factor is the expectation of a 0.5% Fed rate hike and the expectation of continued rate hikes as this is the only option to stop inflation.
US indices for the week
The Dow is in the 33600 - 32,900 range. It lost 700 points or 2%.
The NASDAQ is in the 12,800 - 12,600 range. It dropped by 200 points or 2%.
The S&P500 is in the 4,280 - 4,180 range. It declined by 100 points or 2%.
Outlook
The Dow is expected to be in the 32,600–33, 600 range.
The NASDAQ is expected to be in the 12,300–13, 000 range.
The S&P500 is expected to be in the 4,100–4, 300 range.
The US market, despite falling, is poised for growth. The US economy is still strong, despite negativity from Russia and Ukraine, rising oil, high US inflation, and pending Fed rates. However, the market could start to rise despite all this.
