It hasn’t been a good week for US equities, with major indexes suffering weekly declines following what have been described as disappointing quarterly corporate results and growing concerns over the Reserve’s aggressive rate hikes. federal.

The New York Stock Exchange (NYSE) All Share Index (ASI) lost 2.75% for the week, opening trading at 16,511.5 basis points and closing the week at 16 047.5 basis points. What appeared to be a bullish outlook at the start of the week turned out to be a bearish performance, with the majority of losses occurring on the last day of trading, representing a decline of 2.68%.

The NASDAQ posted its 3rd week of declines, losing 3.83% in the week under review. It started at a basis point of 13,319.39 and ended the week at 12,839.29 basis points. The past two weeks show a decline in trading volume as the market posted volumes below the billion mark. The last time the NASDAQ posted volumes below a billion was in December 2012.

The Dow Jones and the S&P 500 also posted declines, of 1.85% and 2.75% respectively. The Dow Jones suffered its worst decline of the year on Friday, losing 2.81% on the day.

What moves the market?

Sentiment in equities was soured by expectations that the Federal Reserve is set to adopt an even tighter monetary policy path following hawkish remarks from Chairman Jerome Powell.

As mentioned earlier, the U.S. Fed’s stance is the main driver of U.S. market performance as Fed Chairman Jerome Powell said on Wednesday that a 50 basis point hike was on the table for the meeting. of May, and added that the central bank was willing to anticipate more than a 50 basis point hike beyond the May meeting.

Stifel said in a note that “the market was already pricing in a 50 basis point hike next month. Looking ahead, however, in the context of this week’s Fed commentary, an even bigger 75 basis point hike base is now on the table.

The 10-year Treasury yield briefly hit its highest level since 2018, before giving up gains. While the 2-year Treasury yield, which is more sensitive to Fed rate hikes, continued to rise. Against a background of rising rates, the enemy of growth stocks, tech continues to trade in the red.

In the week under review, we saw Netflix stock price drop 36.82% to end the week trading at $215.52 per share. The massive drop is the result of the company’s Q1 2022 report, which found the company lost about 200,000 subscribers in the quarter, compared to a projected 2.5 million subscribers.

This is the first time Netflix has seen a decline in subscribers in over 10 years. In his letter to shareholders, he also explained that he expects to lose an additional 2 million subscribers in the second quarter of 2022.

Besides Netflix, we’ve seen other tech companies like Google-parent Alphabet, Amazon, Microsoft, Apple, and Meta lose more than 2%. Communications services were also the big drag on the broader market after Verizon Communications suffered its biggest decline in more than two years. The telecom giant has lowered its sales forecast for the whole year.

In other news, Bed Bath & Beyond Inc jumped more than 6% on reports the company was showing interest in its BuyBuy Baby business.

List of the top 5 winners

Although US markets performed poorly, there are still a few notable winners for the week. They include:

• Checkmate Pharmaceuticals Inc (CMPI) 309.06%
• Cynng Inc (CYN) 133.91%
• Vallon Pharmaceuticals Inc (VLON) 69.40%
• Swvl Holdings Corp Class A (SWVL) 45.72%
• Blueknight Energy LP (BKEP) 38.60%
• Top 5 losers include;
• Arqit Quantum Inc (ARQQ) -47.88%
• Diffusion Pharmaceuticals Inc (DFFN) -43.64%
• Dogness Corp Class A (DOGZ) -42.93%
• Nutex Health Inc (NUTX) -37.12%
• Netflix Inc (NFLX) -36.82

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