Market Charts – February 14/22

Stocks fell Monday as investors eyed the escalating threat of Russian invasion in Ukraine alongside ongoing concerns over inflation and an aggressive move toward policy tightening by the Federal Reserve.

The S&P 500 came off session lows but still ended in the red to extend losses after last week’s roller-coaster sessions on Thursday and Friday. Treasury yields rose and the 10-year yield hovered back near 2%. The latest leg lower came after the Wall Street Journal reported the U.S. was closing its embassy in Kyiv and destroying networking and computer equipment, with concerns over a Russian military attack mounting.

For the S&P 500, we are still focused on the 4300 and 4200 key support levels.  A break through the 4600 resistance level would be bullish. We do look for a bounce here, but expect it to be short lived, then the 4300 support level to be tested.

War tensions have pushed both gold and the $US higher. Typically, when the $US is rising gold declines, but in times like these, both become safe-haven plays. Gold has now pushed through its declining wedge pattern and is testing the November high, both bullish.

Stay tuned!