The markets had a good week overall, starting the first week of the new year on a high note.  The S&P was up 2.68%, the NASDAQ 2.12%, and the Dow 1.82%. Mostly driving the gains were positive economic data.  The feared “correction” in the first part of the new year has yet to transpire. Bonds took a breather from the beating they were taking. Yields stabilized after four weeks of advancing.

Next week is a big one for data, bringing key readings that are critical to the recovery.  We will see numbers on industrial production, retail sales, inflation, and housing.