Stocks were ending better again on Friday and higher on the week with the S&P 500 up for a fifth straight day as the market remained upbeat after last weekend's apparent progress on trade with China. The Dow Jones industrial average firmed 0.8 percent, the S&P 500 gained 0.7 percent, and the Nasdaq firmed by 0.5 percent. Bond yields, the dollar and oil prices all rose.

Stocks slipped at midmorning after consumer sentiment figures showing increasing consumer gloom and another surge in inflation expectations. The higher inflation expectation figure in particular spurred a selloff in US debt markets with yields rising.

Despite rising rates, megacaps including big technology shares led the winners on Friday, paced by Alphabet and Tesla. Other sectors leading the way higher included pharma, travel & leisure, homebuilders, managed care, machinery and chemicals. Lagging were chipmakers, small banks, energy, and networking and communications.

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.