5 things to know before the stock market opens Tuesday

305
4
5 things to know before the stock market opens Tuesday

In December, the consumer price index had risen 7% from a year ago, bringing inflation close to a 40 year high, according to the U.S. Bureau of Labor Statistics. There was an improvement to the producer price index with a December increase of 9.7% from a year ago, down from 9.8% in November.

Rex Nutting breaks down the causes of inflation during 2021 while considering whether the Federal Reserve's expected moves to raise interest rates can help in slowing price increases.

Here is more coverage of inflation and the Federal Reserve reaction:

America s housing market is in the grip of an inflation storm.

Hulbert: Everyone thinks inflation will stick around. These three accurate models say otherwise.

Inflation was killing my grocery budget Meal-delivery company.

Supply-chain backlogs may never be clear as long as U.S. consumer demand persists, says RBC Capital Markets.

George George, the Fed spokesman, urges a faster drawdown of $8.5 trillion in assets and more normal interest-rate strategy.

Four mistakes the Powell Fed made - from a former insider.

The low interest rates have fueled the pandemic bull market for stocks. The yield on 10 year US Treasury notes TMUBMUSD 10 Y was below the S&P 500 index's SPX, for much of 2020. Even income-seeking investors were attracted to stocks that had growth potential in addition to a competitive yield.

The investors were expecting a tougher time for stocks in the rising-rate environment of 2022, especially tech stocks that trade at high price-to earnings ratios. The Bank of America strategist believes that you should be a bet against tech and these other winners from the Fed's loose policies.

Four reasons why value stocks are poised to surpass growth in 2022 and 14 stocks to consider are four reasons why they are poised to outperform growth.

These bank stocks are in the best position to benefit from rising interest rates.

The S&P 500 stocks have cratered, but analysts think 12 can turn it around with rebounds of up to 70%.

What market signals tell you?

Here is how the S&P 500 index and its 11 sectors have performed this year, through 10 a.m. On January 14, in ascending order: ET on Jan. 14, in ascending order:

It is easy to read into these results and predict what will be in store for the rest of 2022, because it is fun. Mark Hulbert weighs in on the usefulness of the January Barometer and believes that it is a useful measure for investors.

Silvia Ascarelli writes the column Where Should I Retire. This week she helps a reader who is ready to retire and move to a small town with easy access to hiking and biking trails, kayaking and other joys of the natural world. A home-purchase budget of $200,000 makes this a tall order, but here are three possible locations.

You should try MarketWatch's retirement location tool for your personalized search, regardless of your budget or preferences for weather and amenities. It includes data for more than 3,000 U.S. counties and includes climate risk.

Alessandra Malito writes the Help Me Retire column, which is intended to help people plan big post-career moves, but also to help them solve problems after they have retired. This week she shares lessons learned by a retired reader who retired years before she was eligible for Medicare and then suffered serious heath problems.

Richard Conner advises people planning for retirement to think carefully about their possible needs if they age in place and their health eventually turns worse.

What is the best way to increase your career in this tight labor market?

The Great Reshuffle is now taking place within companies, which creates career opportunities for those who don't want to join in the Great Resignation. Karyl Innis, a career coach, walks you through how to position yourself for the next opportunity.

Lukas I. Alpert writes the Financial Crime column, which helps all of us understand how easy it is to be victimized. If we care to admit it, the stories can be entertaining. Here is a sampling of recent coverage:

The founder of a nationwide tax-prep firm sentenced to prison in a 5 year period for skimming $70 million in exorbitant fees.

The CEO admits that she stole $15 million from her company to finance clothing boutique, Plaza Hotel visits and $200K on relative's wedding.

Bad judgment? New Orleans judge charged with allegedly failing to pay taxes on cash she earned officiating weddings.

A shortage of computer chips has been cited by corporate executives talking about supply shortages and price increases. Here is a breakdown of exchange-traded funds that cover the semiconductor space as well as 44 stock held by those exchange-traded funds.

Mark DeCambre writes the ETF Wrap column with performance highlights and various industry features.