Equity and fixed income markets retreated in a reversal of the bullish start to the year. Higher than expected inflation reports, indications of strong consumer spending, and an ongoing tight labor market drove negative sentiment with elevated expectations of further tightening by the Fed. As supply chain issues have eased, inflation concerns are more aligned with the level of demand which is directly in the Fed’s wheelhouse for making an impact. Mixed results in the components of inflation indexes remained a concern.