Stocks Limp Toward 2023 as the Data Show Few Signs of a Clear Direction

Stocks limped on the low volumes of the pre-Christmas week, battered by conflicting data and leaving investors with a muddled outlook going into 2023.

It’s a dynamic in which good news and bad news tend to be interpreted as bad news. “The bulls can’t win,” wrote Edward Yardeni, president of Yardeni Research on Thursday. “If the economic indicators are too strong, the Fed will have no choice but to tighten until a recession occurs. If they are weak, then a recession might be coming sooner.”