Overall, the U.S. economy remains resilient, with respectable preliminary Q4 GDP growth estimates, continued expansion in the ISM Services PMI, a durable labor market, and signs of growth in the manufacturing sector. U.S. stocks underperformed international counterparts in January, with the S&P 500 closing the first month of the new year up 2.8%. As anticipated, the Fed kept interest rates unchanged at the January FOMC meeting. Markets are expecting just one rate cut in 2025. The rise in longer-term yields over the past several months may be due to the market re-calibrating to higher economic growth as U.S. high-yield bond spreads remain at historically low levels.