The S&P 500 fell 1.7% last week as consumer discretionary and communication services stocks weighed. The index is now down 0.5% in February, but up 2.2% this year.
Data released last week by the National Association of Realtors showed January existing home sales in the US dropped more than projected amid elevated mortgage rates and higher prices. US housing starts fell more than expected last month amid declines in single- and multi-family projects, government data showed.
Walmart (WMT) issued a full-year earnings outlook below market estimates amid uncertain consumer behavior and geopolitical conditions. The disappointing guidance came despite better-than-expected fiscal fourth-quarter results from the retailer.
The consumer discretionary sector had the largest percentage drop of the week, down 4.3%, followed by a 3.7% decline in communication services. Industrials, materials, financials and technology also fell.
However, the utilities sector rose 1.4%, followed by gains of 1.1% each in energy and health care. Consumer staples and real estate also edged higher.
This week’s earnings calendar features Home Depot (HD), Intuit (INTU), NVIDIA (NVDA), Salesforce (CRM), Lowe’s (LOW), TJX (TJX) and Berkshire Hathaway (BRK.A, BRK.B).
Economic data will include February consumer confidence, revised Q4 gross domestic product and January personal consumption expenditures, a closely watched inflation report.
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