- US stocks close lower. Midday rally runs out of steam
- UK media reports that Reeves will consider 'shielding' small businesses from tax rises
- BLS :US PPI to be released on November 25
- Reuters Poll: Trump approval rating falls to 38%. His lowest since returning to the WH
- USDCAD Technicals: USDCAD falls through 61.8% retracement and tests old ceiling/floor
- Trump says he thinks he already knows the choice for Fed chair
- Trump: China is on schedule in buying US farm products
- I tried Gemini 3 and it's impressive. Why it could be a gamechanger in markets
- Fed's Barkin says he hopes coming data will clarity direction of economy
- Goldman Sachs thinks that 2026 will be the pain trade for the oil market
- Bank of American warns on dangerously low cash levels
- US August factory orders +1.4% vs +1.4% expected
- NAHB US November housing market index 38 vs 37 expected
- ADP weekly US employment vs --2500 last week (Confirmed)
- BOE's Pill: Underlying inflation dynamics in UK are lower than headline suggests
- Canada Oct housing starts 232.8K vs 265.0K expected
- The USD is mixed to start the day and little changed vs the 3 major currency pairs
- investingLive European FX news wrap: The risk sentiment remains cautious
The ADP weekly US employment data showed improvement from prior week at -2.5Kfor the 4-week average vs -11.25K last week. Although still negative, it did show improvement. Later US factory orders came in as expected at 1.4% with durable goods orders also little changed from the 1st release that was released just prior to the October 1 shutdown.
The NAHB US November housing market index rose slightly to 38 from 37
Richmond Federal Reserve President Thomas Barkin spoke and said that the U.S. central bank is grappling with conflicting signals regarding its dual mandate of stable inflation and maximum employment. He expressed hope that upcoming economic data would provide clarity on the economy's direction. Barkin noted that inflation remains above the target, but consumer resistance to price increases and productivity improvements are acting as mitigating factors against further acceleration. While job growth is down, the labor supply is also slowing, which has kept unemployment stable.
Barkin described the current economic situation as "not a particularly comfortable place to be," likening it to "docking a boat at night without a lighthouse" due to limited government data availability. He highlighted that credit card data and corporate earnings suggest healthy economic growth, yet some sectors and households are facing difficulties. Although the job market appears balanced overall, Barkin cited recent layoff announcements from major companies like Amazon, Verizon, and Target as reasons for caution, suggesting the labor market might be weaker than official numbers indicate. He emphasized that without compelling data, achieving a broad consensus among Fed officials on future policy actions, such as an interest rate cut at the upcoming December meeting, would be challenging.
The US dollar is closing the day with mixed results. Looking at the major currencies, the USD percentage change is showed:
- EUR: +0.10%
- JPY +0.18%
- GBP +0.10%
- CHF +0.48%
- CAD -0.46%
- AUD -0.22%
- NZD +0.02%
Looking at the US stock market, major indices fell for the 2nd consecutive day and the 4th time in 5 trading days
- S&P index -0.83%
- NASDAQ index -1.21%
- Dow industrial average -1.07%
Nvidia will announce earnings after the close tomorrow. The stock fell -2.81% trading today.
US yields moved lower with the two-year down -3.1 basis point at 3.578%. The 10 year was down -1.6 basis points at 4.117%.
Crude oil moved higher by $0.62 or 1.05% at $60.54. Gold prices rose by $23.15 after yesterday's fall to $4067.86. Bitcoin rose modestly by $477 to $92,579 after breaking $90,000 briefly today
