Your Capital Markets Snapshot: Stocks Maintained their Bullish Momentum

Last week, stocks maintained their bullish momentum, driven by a pro-growth fiscal policy shift from the incoming Trump administration. The S&P 500 reached a fresh all-time high (ATH) during the week, while the Dow and NASDAQ also recorded gains but remain below their previous ATHs. Bitcoin prices also hit a new ATH above $109,000 on Inauguration Day before trending down and ending the week essentially flat, fueled by optimism over the administration's crypto- friendly stance. Additionally, Meta Platforms announced a significant increase in AI infrastructure investment, which appeared to reflect positively on its stock price. Despite these positives, there are still concerns about potential inflationary pressures and the trajectory of Treasury yields, particularly longer-term yields. Overall, the market sentiment remained positive, supported by healthy economic indicators and earnings growth.