Weekend Update 5/21/2023

Weekend Update recaps market highlights and major news from Ursa’s portfolio. Not on Ursa yet? Download Ursa from the App Store!

Market rallies on debt ceiling optimism

🏛   Debt ceiling negotiations. Negotiations were ongoing all week with June 1 deadline looming. Markets were pretty upbeat gaining steadily on positive discussions. Even Friday’s temporary pause did little to negate the optimism. Positive sentiment drives #RiskOn rally with S&P 500 ending up +2% for the week.

🛍   Consumer belt tightening? April retail sales rose less than expected with Groceries surprisingly declining. Meanwhile, mega store Walmart headlined with strong earnings, but strength continues to be from higher income shoppers and staple sales. We continue to see #ConsumerNoConfidence signs slowly emerging.

🏦   Fed pausing? Lost in the debt ceiling’s #RiskOn rally, Powell slightly tempered #RisingYields June pause expectations. Powell wasn’t as hawkish as expected reiterating rate hike decisions are “meeting by meeting”.

No Ursa account yet? Download Ursa here!

As of the publish date, Ursa portfolios do not own WMT with no plans to open any positions in the next 5 days. Any mention of these securities is for purely informational purposes only and NOT investment advice.

The statements, opinions and analyses presented here are provided as general information. This article is the opinion of the author. Anything within this article should NOT be considered an investment recommendation or advice. See Ursa’s full disclosures here.