Telemus Weekly Market Review February 3rd - February 7th

    | May 14, 2021

    February 3 – February 7 Week in review

    The stock market rallied to new heights again last week, as investors looked past coronavirus concerns and drew encouragement from positive economic data. The Nasdaq Composite was the weeks best performer with a 4.0% gain, followed by the S&P 500, up 3.2%, the Dow Jones Industrial Average, up 3.0%, and the Russell 2000, up 2.7%.

    The prevailing view was that the economy is fine and any negative impact resulting from the coronavirus will be minimal, based on economic actions taken by China, reports of progress being made toward a vaccine, and continued upbeat U.S. economic data.

    Commentary 2.10.20


    Ten of the 11 S&P 500 sectors contributed to the advance, led by the information technology and materials sectors. The utilities sector was the lone loser last week.

    As to the economy data showed nonfarm payrolls grow by 225,000 in January, the January ISM Manufacturing Index return into expansion territory after five straight months of contraction, the ISM Non-Manufacturing Index accelerate for the second straight month in January, and weekly jobless claims fall to their lowest level in nine months.

    China shored up confidence after it injected liquidity into its markets to help offset any impact from the coronavirus and said it will cut tariffs on $75 billion of U.S. imports by 50% on February 14th. In addition, reports indicated that the People's Bank of China is planning additional stimulus that will encourage lending activity.

    The coronavirus isn't in the rearview mirror just yet, as some companies like Walt Disney and Nike said it will have a negative impact on financial results, but the market is optimistic it won't get too much worse. Apple for its part temporarily closed its China stores but shares still rose more than 3% for the week.

    Tesla was arguably the story stock of the week after shares rose as much as 48.9% in a span of less than two days in a short squeeze led buying frenzy. For the week shares ended up 15.0%. Separately, Alphabet reported revenue that was below expectations, but shares overcame initial weakness to end the week higher.

    U.S. Treasuries finished last week lower, driving yields higher across the curve. The 2 year yield increased seven basis points to 1.39%, and the 10 year yield increased six basis points to 1.58%.

    In other markets the U.S. Dollar Index rose 1.3% to 98.69 and WTI crude fell 2.4%, or $1.23, to $50.35 a barrel, unable to draw enthusiasm from talk of possible production cuts.

    February 10 – February 14 Economic Calendar

    • Monday
    • TD Ameritrade IMX
      12:30 PM ET

    • Tuesday
    • NFIB Small Business Optimism Index
      6:00 AM ET

    • Redbook
      8:55 AM ET
    • Jerome Powell Speaks
      10:00 AM ET
    • JOLTS
      10:00 AM ET
    • Wednesday
    • MBA Mortgage Applications
      7:00 AM ET
    • Jerome Powell Speaks
      10:00 AM ET
    • Atlanta Fed Business Inflation Expectations
      10:00 AM ET
    • EIA Petroleum Status Report
      10:30 AM ET
    •                    Treasury Budget
      2:00 PM ET

    • Thursday
    • CPI
      8:30 AM ET
    • Jobless Claims
      8:30 AM ET
    • EIA Natural Gas Report
      10:30 AM ET
    • Fed Balance Sheet
      4:30 PM ET

    • Money Supply
      4:30 PM ET

      • Friday
      • Retail Sales
        8:30 AM ET
      • Import and Export Prices
        8:30 AM ET
      • Industrial Production
        9:15 AM ET
      • Business Inventories
        10:00 AM ET
      • Consumer Sentiment
        10:00 AM ET

      • Baker-Hughes Rig Count
        1:00 PM ET





    Telemus is a place where financial security is just the starting point. A place where you can identify and realize a more profound, more aspirational mission – to leverage your wealth to help you achieve your envisioned future. Through a deep and thoughtful exploration process with a unique team of experts, we help you define what financial and personal achievement means. By igniting a partnership with Telemus, we will help you attain personal life enrichment, your grandest visions, and your life’s most important goals. At Telemus, we have a different perspective on your financial life. When you take a seat at the Telemus Roundtable, you gain access to the most compelling conversations and inspired solutions for your financial future. We offer you a brand new, more holistic outlook far beyond just investment management which we know will serve as the inspiration for a more enriched life.


    PAST PERFORMANCE IS NOT A GUARANTEE OF FUTURE RESULTS. Investment decisions should always be made based on the client's specific financial needs, goals and objectives, time horizon and risk tolerance. Current and future portfolio holdings are subject to risk. Risks may include interest-rate risk, market risk, inflation risk, deflation risk, currency risk, reinvestment risk, business risk, liquidity risk, financial risk, and cybersecurity risk. These risks are more fully described in Telemus Capital's Firm Brochure (Part 2A of Form ADV), which is available upon request. Telemus Capital does not guarantee the results of any investments. Investment, insurance and annuity products are not FDIC insured, are not bank guaranteed, and may lose value.

    New call-to-action
    New Call-to-action