S&P 500 Retreats to Key Support Following Retail Sales Data

US stocks are pushing lower following strong retail sales data this morning, as traders once again reassess the potential implications on Fed policy. The report showed the largest increase in eight months in October, indicating that the US consumer continues to thrive amid the Fed’s tightening cycle. The 2s-10s spread inverted to -60 basis points earlier in the session, the largest inversion since 1982. Equities appear to be taking a breather after a robust melt higher following soft CPI data. Optimism surrounding peak Fed hawkishness along with headlines regarding China’s reopening have fueled risk sentiment in recent sessions.