The market finished 0.3% lower last week after going no where for the majority of the week. However, the market finished the month 5.5% higher. Last time we saw a monthly gain this high was in October 2011. This month we finally saw a stabilization in oil prices as they broke their weekly loosing streak. We also saw a deal happen in Greece which helped ease the uncertainty of the European markets. The drama with Greece is far from over and we will keep a close watch on it as it develops. Greece will need to start adopting the economic reforms from its creditors so it can access the emergency funds and meet its debt payment in March.
The one market that did move was the VIX coming in a point to settle at 13.34. Even on Friday, a day the SPX dropped .30%, the VIX could not muster finishing green. Realized volatility is starting to drop and this is pulling in implied volatility.
Last week we had a mix of economic news. Jobless claims were higher than expected and GDP was revised lower even though it was still above expectations. This week we will have the Employment Situation out on Friday. This has been a key indicator, as of late, as the Fed will use it to judge the strength of the economy.