The S&P 500 Index (+2.2%) built on its strong gains over the previous two weeks and moved above the 4,500 barrier for the 1st time since September. The week’s advance was notably broad, with the S&P 500 Index equally-weighted outperforming the S&P 500 by 1%. Value and small-cap indexes also outperformed. US Retailers earnings results were mixed; Target surged nearly 18% on Wednesday after beating consensus expectations while Walmart fell over 8% on Thursday, after it lowered guidance on increasing customer caution and falling prices for some goods. On Tuesday, the Labor Department reported that headline US CPI had remained unchanged in October, driven in part by a sharp drop in energy costs. Core (less food and energy) prices rose 0.2%, bringing the y/y increase to 4.0%, the slowest pace in two years. Producer price inflation, reported Wednesday, also surprised on the downside. The cooling inflation signals fostered another drop in long-term Treasury yields, with the US 10-year note hitting an intraday low of around 4.40% on Friday, its lowest level since mid-September. In Europe, the STOXX Europe 600 Index ended the week 2.8% higher as investors increased bets on central banks cutting interest rates soon. In Asia, the Nikkei 225 Index rose by 3.1% while Chinese equities were mixed after official indicators highlighted the fragility of the country’s economy. The dollar plunged on the week and fell into the red for 2023. Oil continued to weaken while Gold jumped 2% over the week.