Treasury yields have also moved lower, serving as an additional bullish catalyst for stocks. The yield of 2-year Treasuries declined below the 3.80% level, while the yield of 10-year Treasuries settled below 4.30%. Treasury yields are moving lower as traders bet that Fed will not raise rates despite rising inflation. Fed Chair Powell has recently said that the central bank could not control energy prices.
Today, traders also focused on JOLTs Job Openings report. The report indicated that JOLTs Job Openings decreased from 7.24 million in January to 6.882 million in February. The weak job market data did not put pressure on stocks as traders focused on geopolitical developments and falling oil prices.
Traders also had a chance to take a look at CB Consumer Confidence report. The report showed that CB Consumer Confidence increased from 91.0 in February to 91.8 in March, compared to analyst consensus of 88. The Present Situation Index increased from 118.7 to 123.3, while the Expectations Index declined from 72.6 to 70.9.
Chicago PMI declined from 57.7 in February to 52.8 in March, compared to analyst forecast of 55. Case-Shiller Home Price index grew by +1.2% year-over-year in January, while analysts expected that it would increase by +1.3%.
Today’s rally was broad, and most market sectors gained strong upside momentum. The rally was led by tech stocks, which are sensitive to changes in the appetite for risk.
Energy stocks found themselves under pressure as traders focused on the sell-off in the oil markets. Consumer defensive and utilities stocks moved lower as demand for safe-haven assets declined.