US Financial Market Update: May 13, 2024 | Troy Rose, CWS®, ATFA posted on the topic | LinkedIn (2024)

U.S. Financial Market Update: The Week AheadLast Updated on Apr 8, 2024THINGS TO WATCH–THE INFLATION SITUATION:U.S. consumer price index (CPI)and producer price index (PPI) data for March will bereleased pre-market on Wednesday and Thursday,respectively. Higher energy prices last month likely offsetslowing inflation in used cars and rents. CPI is expected todecelerate to 0.3% from 0.4% in February, while the year-over-year reading is projected to increase to 3.5% from 3.2%as a 0.1% print from March 2023 falls out of the 12-monthcalculation. Core CPI, which strips out energy and foodprices, is forecast to slow slightly to 3.7% on an annual basisfrom 3.8% in February.–MARCH FOMC MINUTES:On Wednesday afternoon,investors will get a look at the behind-the-scenes discussionamongst Federal Reserve policymakers at the March 19-20Federal Open Market Committee (FOMC) meeting. Althoughthe majority of officials anticipate three quarter-point ratecuts by the end of this year, Minneapolis Fed President NeelKashkari (not an FOMC voter in 2024) threw a wrench in theconsensus last Thursday when he suggested rate cuts maynot be appropriate at all this year if “…we continue to seeinflation moving sideways…”Read the fullUS Financial Market Update: The Week Ahead April 8, 2024here.https://lnkd.in/g7YrqjAw#marketupdate #weekahead #economicupdate #wealthmanagement #Centier #ceintierfinancialpartners #stockmarket #cpi #FOMC #inflation #earnings #gold #privatebank

2

1 Comment

U.S. Financial Market Update: The Week AheadLast Updated on Apr 8, 2024–THE INFLATION SITUATION:U.S. consumer price index (CPI)and producer price index (PPI) data for March will bereleased pre-market on Wednesday and Thursday,respectively. Higher energy prices last month likely offsetslowing inflation in used cars and rents. CPI is expected todecelerate to 0.3% from 0.4% in February, while the year-over-year reading is projected to increase to 3.5% from 3.2%as a 0.1% print from March 2023 falls out of the 12-monthcalculation. Core CPI, which strips out energy and foodprices, is forecast to slow slightly to 3.7% on an annual basisfrom 3.8% in February.–MARCH FOMC MINUTES:On Wednesday afternoon,investors will get a look at the behind-the-scenes discussionamongst Federal Reserve policymakers at the March 19-20Federal Open Market Committee (FOMC) meeting. Althoughthe majority of officials anticipate three quarter-point ratecuts by the end of this year, Minneapolis Fed President NeelKashkari (not an FOMC voter in 2024) threw a wrench in theconsensus last Thursday when he suggested rate cuts maynot be appropriate at all this year if “…we continue to seeinflation moving sideways…”Read the fullUS Financial Market Update: The Week Ahead April 8, 2024here.https://lnkd.in/gpbxpA7Q#CentierBank #CentierFinancialPartners #TheWeekAhead #Inflation #MarketAnalysis #FOMC #CPI #PPI #FinancialMarkets

2

U.S. Financial Market Update: The Week AheadLast Updated on Mar 11, 2024–FEBRUARY INFLATION AND GAS PRICES:Tomorrowmorning, consumer price index (CPI) inflation data isexpected to show headline prices climbed 0.4% in Februaryafter gains of 0.3% and 0.2% the prior two months. On ayear-over-year basis, CPI is projected to remain unchangedat 3.1% from January, the low end of its 3.0%-3.7% rangeover the last seven months. Any upside surprise in the CPIdata is likely to be driven by recent increases in gasolineprices. The AAA daily national average gasoline priceincreased 6% from $3.15 on January 31 to $3.33 on February29. It edged up another 2% in the first week of March to afour-month high of $3.40 as of last Friday.–ADOBE:Creative and marketing design software giantAdobe (ADBE) reports February quarter results post-marketThursday. The median analyst estimate of $4.38 in adjustedEPS would represent 15% growth from a year ago. Investors’focus will be on management’s plans for reallocating $20billion from the terminated Figma purchase and commentsabout any risks posed by OpenAI’s new text-to-videoproduct, Sora.Read the fullUS Financial Market Update: The Week Ahead March 11, 2024here. https://lnkd.in/g7YrqjAw#weekahead #weeklymarketcommentary #markets #marketcommentary #cpi #inflation #gasolineprices #centier #wealthmanagement #centierfinancialpartners #economicoutlook #economy2024 #privatewealthmanagement

U.S. Financial Market Update: The Week AheadLast Updated on Mar 11, 2024–FEBRUARY INFLATION AND GAS PRICES:Tomorrowmorning, consumer price index (CPI) inflation data isexpected to show headline prices climbed 0.4% in Februaryafter gains of 0.3% and 0.2% the prior two months. On ayear-over-year basis, CPI is projected to remain unchangedat 3.1% from January, the low end of its 3.0%-3.7% rangeover the last seven months. Any upside surprise in the CPIdata is likely to be driven by recent increases in gasolineprices. The AAA daily national average gasoline priceincreased 6% from $3.15 on January 31 to $3.33 on February29. It edged up another 2% in the first week of March to afour-month high of $3.40 as of last Friday.–ADOBE:Creative and marketing design software giantAdobe (ADBE) reports February quarter results post-marketThursday. The median analyst estimate of $4.38 in adjustedEPS would represent 15% growth from a year ago. Investors’focus will be on management’s plans for reallocating $20billion from the terminated Figma purchase and commentsabout any risks posed by OpenAI’s new text-to-videoproduct, Sora.Read the fullUS Financial Market Update: The Week Ahead March 11, 2024here.https://lnkd.in/gpbxpA7Q#centierbank #financialmarketupdate #inflation #centierfinancialpartners

1

U.S. Financial Market Update: The Week AheadLast Updated on Feb 26, 2024–PCE SURPRISE?On Thursday morning, Bureau of EconomicAnalysis data is expected to show the core personalconsumption expenditures (PCE) index rose 0.4% in January(an acceleration from a 0.2% gain in December). Year-overyearPCE is forecast to have decelerated slightly to 2.8% inJanuary from 2.9% the prior month. If core PCE, the Fed’spreferred inflation gauge, registers an annual reading of2.8% or lower, bond markets will likely price higher odds ofa 0.25% Fed rate cut by the May 1 Federal Open MarketCommittee meeting.–CORPORATE IT SPENDING TRENDS:Quarterly results andguidance from Salesforce (CRM), Dell Technologies(DELL), HP Inc (HPQ), and Workday (WDAY) this week shouldprovide insight on whether (and by how much) companiescontinue to exercise caution with spending on non-AIsoftware and hardware upgrades. In the first week ofJanuary, enterprise software giant CRM announced it wouldcut 10% of its workforce and reduce its office space to helpsupport profit margins amid a cyclical downturn in demandfrom corporate IT departments.Read the fullUS Financial Market Update: The Week Ahead Feb. 26, 2024here.https://lnkd.in/g7YrqjAw#weeklymarketupdate #weekahead #markets #economy #economicupdate #centierbank #centierfinancialpartners #wealthmanagement #privatebanking #PCE

3

1 Comment

U.S. Financial Market Update: The Week AheadLast Updated on Feb 26, 2024–PCE SURPRISE?On Thursday morning, Bureau of EconomicAnalysis data is expected to show the core personalconsumption expenditures (PCE) index rose 0.4% in January(an acceleration from a 0.2% gain in December). Year-overyearPCE is forecast to have decelerated slightly to 2.8% inJanuary from 2.9% the prior month. If core PCE, the Fed’spreferred inflation gauge, registers an annual reading of2.8% or lower, bond markets will likely price higher odds ofa 0.25% Fed rate cut by the May 1 Federal Open MarketCommittee meeting.–CORPORATE IT SPENDING TRENDS:Quarterly results andguidance from Salesforce (CRM), Dell Technologies(DELL), HP Inc (HPQ), and Workday (WDAY) this week shouldprovide insight on whether (and by how much) companiescontinue to exercise caution with spending on non-AIsoftware and hardware upgrades. In the first week ofJanuary, enterprise software giant CRM announced it wouldcut 10% of its workforce and reduce its office space to helpsupport profit margins amid a cyclical downturn in demandfrom corporate IT departments.Read the fullUS Financial Market Update: The Week Ahead Feb. 26, 2024here.https://lnkd.in/gpbxpA7Q#centierfinancialpartners #weekahead #PCE #corporateearnings #financialmarketupdate #centierbank #marketanalysis

4

"This week the avg 30-year fixed rate dropped for 6th straight week. Rates have hit their top for this cycle, but the downward trend will not be straight. There will be pull-backs. The mixed economic signals will continue to bring volatility. Your consumers will be managing opportunities with uncertainty. Which was the focus of this week’s Why It Matters." ~ Nicole Rueth Watch the Replay Here: https://lnkd.in/ggwbNz23

"This week the avg 30-year fixed rate dropped for 6th straight week. Rates have hit their top for this cycle, but the downward trend will not be straight. There will be pull-backs. The mixed economic signals will continue to bring volatility. Your consumers will be managing opportunities with uncertainty. Which was the focus of this week’s Why It Matters." ~ Nicole Rueth Watch the Replay Here: https://lnkd.in/ggwbNz23

4

2 Comments

U.S. Financial Market Update: The Week AheadLast Updated on Nov 20, 2023–FOMC MINUTES:Tomorrow afternoon, minutes from theFederal Open Market Committee’s (FOMC) October 31-November 1 policy-setting meeting will be released. Investorsand commentators will look for clues as to why Fed ChairmanPowell seemed in his November 1 press conference todownplay recent instances of resilient economic data,including the stronger-than-expected 4.9% initial estimate of3Q23 U.S. GDP on October 26.–NVIDIA EARNINGS: After the market closes tomorrow, theworld’s leader in high-end graphics processing units (GPUs)will report results for its August-to-October quarter. Themedian analyst estimate for revenue in the period is $16.09billion, a stunning 170% increase from a year ago. Thecompany’s sales explosion in recent quarters has been drivenby white-hot demand for its products that power largelanguage model-based processing required for generativeartificial intelligence applications. Management’s commentaryregarding the impact of U.S. curbs on chip exports to China willlikely be the most closely examined component of NVDA’squarterly results.Read the fullUS Financial Market Update; The Week Aheadhere.https://lnkd.in/gd2Vs2Kg#FOMC ##FinancialMarketUpdate #CentierBank #Earnings

It proved to be a difficult week in financial markets last week. A strong sell off in global equities, down 3.2% signalled challenges in the macro environment coupled with mixed earnings. For example, whilst Netflix had an earnings beat, up c.12% for the week, Tesla had a horrid week, down c.15% after lower growth forecasts for the rest of the year were announced. Bond markets also sold off as Federal Reserve Chairman Jay Powell stated that the US central bank would be careful in raising rates at their next meeting, further pushing the 'higher for longer' story around in US interest rates. 10 year treasury yields finished the week at 4.91% and just today broke the 5% mark, a level not seen since 2007. UK yields also jumped 0.26% last week as sticky inflation data added pressure on the Bank of England to keep rates elevated. On the macro front this week, the ECB will make an interest rate call on the 26th whilst the Core PCE Price Index will be released in the US on the 27th. Also keep an eye out for Microsoft and Alphabet earnings on the 24th, followed by Meta and Amazon on the 25th and 26th respectively.

15