Friday was a quiet day with the Dow edging 0.1 percent higher and the Nasdaq unchanged. Econoday's Consensus Divergence Index ended the week at plus 24 to indicate that US economic data are handily beating forecasts, in turn pointing squarely at another rate hike for the September 19-20 Federal Reserve meeting. The 2-year Treasury yield opened Monday at 4.88 percent and closed the week at 4.99 percent, a significant increase consistent with rising expectations for more policy tightening.

Market Reflections track market reaction to the trading day's major events. Economic data, policymaker speeches, and company news are featured in this report as well as key indexes and financial instruments.

Understanding why markets respond as they do is fundamental for an investor. Market Reflections help explain how the day's events, news, and data impact the outlook for the economy and for market prices.