Markets notched a gain for the week following one of the most volatile weeks of earnings in history. In addition to the onslaught of earnings we received several key macroeconomic reports, including the all-important nonfarm payroll report.

Under the hood this week, all sectors posted gains with energy leading the pack with a gain of more than 5%, followed by consumer discretionary and the financials. Communication services brought up the rear, weighed down by a brutal beatdown in shares of Meta Platforms (FB) that was offset by the strength in Alphabet (GOOGL); combined these two names make up roughly 40% of the communication services sector of the S&P 500.

Here’s a quick look at some of the broader market measures we like to keep an eye on: The U.S. dollar index pulled back to the 95 level. Gold advanced to the low-$1,800s region. WTI crude prices have broken into the low-$90s per barrel region. The yield on the 10-year Treasury increased to the 1.92% level on the back of a better-than-expected nonfarm payroll report.

Earnings and the economy

Within the portfolio, we got earnings this week from Advanced Micro Devices, Meta Platforms, Eli Lilly (LLY) and Ford (F).

We also had a few key macroeconomic updates to consider, but most notably was the Nonfarm Payrolls for January 2022 which came in at 467,000 vs. 150,000 estimate. It's notable to mention that many were expecting actually a negative print because of the massive Omicron infections that we experienced in January. However, don't be too happy too soon, this is either a glass half full or half empty situation. On the positive side, you can say that the economy is going strong. On the negative side though, the strength of the economy could mean the Feds will be more comfortable in raising rates, which can slow down growth in the economy. It remains a wait and see situation, and we just don't see how the market can go back up to the highs any time soon.