The second week of January 2017 proved to be yet another disappointment for those focused on the Dow Jones Industrials (NYSE: DJI) and its now month-long quest to finally reach the magical 20,000 milestone, even as the Nasdaq index (Nasdaq: IXIC) hit a new record high.

Meanwhile, the S&P 500 in Week 2 of January 2017 kept bouncing along just below its week old all-time record high. Not that any of that was in any way unexpected....

It was a week in which the news to which investors reacted had very little impact on the overall course of the S&P 500. The headlines below are what stood out to us as significant during the week that was.

Monday, 9 January 2017

• Fed's Kaplan says backs gradual rate increases in 2017
• Fed's Rosengren: rate hike timing depends partly on fiscal policy
  • Also: Fed's Rosengren calls for faster interest rate hikes
• With recovery 'largely done,' Lockhart says Fed should step aside
• Oil drop stymies Dow's march to 20,000; health stocks boost Nasdaq

Tuesday, 10 January 2017

• Oil slides 2 percent on strong dollar, doubts of OPEC output cuts
• S&P ends flat as healthcare advance offset by lower oil

Wednesday, 11 January 2017

• Oil rises by most in over a month on weak dollar after Trump conference
• Wall Street ends choppy session higher, health lags on Trump comments

Thursday, 12 January 2017

• Fed can consider unwinding balance sheet when fed funds hits 1 percent: Harker
• Fed's Kaplan says 'reasonable' to debate balance sheet this year
• Fed ‘may be in better position’ to reduce balance sheet, Bullard says
  • These three stories represent a trial balloon by Fed officials for how the U.S. central bank might choose to tighten its monetary policy in addition to continuing its current strategy of hiking short term interest rates. The market's reaction to these trial balloons was led to the steepening the yield curve for U.S. Treasuries on 12 January 2017.
• U.S. stocks end lower, dollar sags as Trump trades ease

Friday, 13 January 2017

• Oil falls on China concerns, down 3 percent for the week on OPEC doubts
• S&P 500 gains as bank earnings start strong

Barry Ritholtz summarized the positives and negatives reported for the U.S.' economy during Week 2 of January 2017.