Us Stocks sold off yesterday as yields in the bond market hit a 2 year high, while the price of oil hit a 7 year high.

Builders in the single-family housing market are facing growing expenses, which is causing a turnaround in sentiment to start the year.  Builder confidence fell one point to 83 in January, according to the National Association of Home Builders. Anything above 50 is considered positive, but that is the first drop in four months. The index also stood at 83 in January 2021.  “Higher material costs and lack of availability are adding weeks to typical single-family construction times. “NAHB analysis indicates the aggregate cost of residential construction materials has increased almost 19% since December 2020.”

Microsoft announced plans to buy video game giant Activision Blizzard in a $68.7 billion all-cash deal.  The price means Microsoft will pay $95 per share for Activision. Shares of Activision soared 27% following the news while Microsoft’s stock fell less than 1%. This would be Microsoft’s largest acquisition to date, followed by its purchase of LinkedIn in 2016 for $26.2 billion.  Activision, which is known for popular games such as Call of Duty and Tony Hawk’s Pro Skater, has been mired in controversy for the last several months after reports of sexual misconduct and harassment among the company’s executives. On Monday, Activision said it fired dozens of executives following an investigation.