The economic distortions tied to the pandemic and the government’s massive response to prop up the economy have been far-reaching.

The Fed's road to 2% annual inflation took a curious turn last week, disappointing some investors that had been expecting continued progress on inflation.

But given the inflation data last week, January’s blockbuster payroll number, and the upturn in consumer spending last month, investor expectations of a near-term peak in rates have receded.

Housing sales tumbled since the beginning of 2022, as the jump in mortgage rates forced many buyers to the sidelines. Existing home sales fell a whopping 38% last year, according to the National Association of Realtors.

Friday’s announcement from the U.S. Bureau of Labor Statistics of 517,000 net new jobs last month was a shocker and far above the CNBC consensus of 187,000. In part, the economy is expanding. In part, the huge number of job openings has not yet abated, even as companies in some industries continue to backfill open positions that should have been filled months ago.

At the end of last year, Congress passed the SECURE Act 2.0, a follow-up to an overhaul of retirement laws passed just three years ago. The changes make it easier to save for retirement and may stretch out your savings while in retirement.

There has been meaningful progress on the inflation front. The annual rate of inflation has slowed, and the ever-visible price of gasoline is well off last year’s high. But as every child has asked on a long road trip, “Are we there yet?”

Investors are rooting for a continued slowdown in wage growth and a loosening in the tight labor market but not an outright recession, which would hamper corporate profits. Wages are still rising too quickly for the Fed’s comfort and aren’t compatible with its 2% annual inflation goal. Workers, however, benefit from higher wages, as many have not kept pace with the spike in prices.

The market had a banner year in 2021, with the S&P 500 Index advancing over 25%, according to data from the St. Louis Federal Reserve. But tailwinds that fueled gains in some sectors of the S&P 500 shifted dramatically in 2022.