Dow Futures contract was mostly flat, U.S. market news Dec 11

Dow Futures

The Dow futures contract was steady at 07:08 ET (12:08 GMT), the S&P futures contract had dropped 3 points or 0.1%, and the Nasdaq 100 futures contract had lost 27 points or 0.2%.

1. What’s influencing markets? The Fed meeting is in focus, and Cigna has ended its chase of Humana.
2. Futures are quiet as traders await inflation data and the Fed’s decision.
3. Bond investors are bracing for the Fed’s opposition to rate decreases.
4. CrownRock will be purchased by Occidental Petroleum for $12 billion.
5. According to the United Nations, global commerce will shrink by 5% in 2023.
6. Hedge funds have had the lowest exposure to financials since March 2020, according to Goldman Sachs.
7. Glenn Chamandy, CEO of Gildan Activewear, will step down, and Vince Tyra will take his place.
8. Endeavor Energy Is Considering a $30 Billion Sale – According to Reuters
9. AES Corp increases its quarterly dividend by 4% to $0.1725, yielding 3.8%.
10. Among the stocks that have plummeted off the Nasdaq-100 are Lucid Group and Zoom.
11. TikTok to Invest $1.5B in Joint Venture with Goto’s Tokopedia – Bloomberg
12. Gold prices fall below $2,000 as chances on an early Fed rate decrease fade.
13. Norway’s sovereign wealth fund is pushing Tesla for union recognition and will retain its investment.
14. The sharp Fed liquidity outflow suggests that the balance sheet runoff will be completed sooner rather than later.
15. IBM and Micron will be joined by New York in a $10 billion chip development lab, according to a report.
16. Nvidia will expand its collaboration with Vietnam and boost AI development, according to the CEO.
17. Stephanie Pope will be named CEO of Boeing, according to the Wall Street Journal.
18. Gold prices fall below $2,000 as chances on an early Fed rate decrease fade.
19. Oil continues to benefit from US strategic reserve acquisitions.
20. Macy’s investors launch $5.8 billion takeover bid
21. Morgan Stanley estimates traditional media would lose $1.1 billion to retail marketing by 2027
22. Chemist Warehouse, Sigma Healthcare unite in $5bn transaction
23. Nvidia CEO intends to set up a facility in Vietnam

GLOBAL NEWS 

1. Japan’s markets are up at the conclusion of trade, with the Nikkei 225 up 1.56%.
2. Australia’s equities closed higher, with the S&P/ASX 200 up 0.06%.
3. The Nifty 50 is up 0.13% after the closing of trade in India.
4. Norway’s interest rate is set to remain unchanged, according to a Reuters poll.
5. Singapore’s Shein discusses with the London Stock Exchange about a prospective listing – Sky News
6. Argentina’s government will present economic measures on Tuesday.
7. European stocks are flat ahead of the Central Bank’s rate announcement; miners are down.
8. Corsair Capital’s infrastructure business is now 50% owned by Investcorp.
9. Taiwan has issued another report. As an election approaches, a Chinese carrier group patrols the Taiwan Strait.
10. According to a Reuters poll, Pakistan’s central bank will keep interest rates unchanged as inflation is expected to ease.
11. Stocks have halted as rate-cut prospects confront a critical week.
12. As Hungary plays hardball, Europe’s support for Ukraine dwindles.
13. Goldman Sachs raises its 12-month objective for the main European stock index to 500.
14. China claims tax benefits would continue for more than 90% of new energy cars.
15. The COP28 has reached a tipping point, with countries at conflict over fossil fuels.Westpac warns of a 47% increase in retail frauds this holiday season.
16. Bosch intends to lay off 1,500 workers at two German plants.
17. McGeever hopes for a’soft landing’ of the $1 trillion basis trade.
18. As Hungary plays hardball, Europe’s support for Ukraine dwindles.
19. Asian equities soar with Fed in focus, Chinese disinflation concerns weigh
20. Asia FX declines, yuan hammered by China disinflation worries; Dollar stable
21. Taiwan central bank projected keeping pat this week and all of 2024- Reuters poll
22. Column-India’s economy follows China to attain quick take off: Kemp
23. UK manufacturers show some indications of resurgence – Make UK
24. China’s consumer prices fall quickest in 3 years, factory-gate deflation intensifies

Economic Data

Strong November jobs reading as private sector jobs +150,000 (mostly in-line with the +153,000 estimate) and Nonfarm payrolls +199,000 above consensus +180,000); average hourly earnings all private workers +0.4% from prior month (above est. +0.3%) and the Unemployment rate falls to 3.7%, below the 3.9% estimate. November labor force participation rate 62.8%. Solid headline jobs readings, higher wages, and lower unemployment.

The change in payrolls for September was revised down by 35,000, from +297,000 to +262,000, and the change for October remained at +150,000. With these revisions, employment in September and October combined is 35,000 lower than previously reported.

 University of Michigan surveys of consumers sentiment prelim Dec 69.4 above consensus 62.0 and the Nov final 61.3; current conditions index prelim Dec 74.0 (vs. est. 68.5) vs final Nov 68.3; expectations index prelim Dec 66.4 (vs. est. 57.0) vs final Nov 56.8

University of Michigan data inflation expectations for 1-yr was 3.1%, sharply below the prior reading of 4.5% and inflation expectations for 5-yr reported at 2.8% vs. prior 3.2%.

World News

WSJ’s Nick Timiraos reported: Fed officials aren’t likely to entertain serious conversations about when to cut rates this week-and potentially for several months unless the economy weakens more than expected. Still, they don’t think rates need to remain at their current, economically restrictive setting indefinitely. Officials’ updated rate projections, to be released Wednesday after their meeting, will show that most expect to cut rates somewhat next year.

Economic Calendar

10:00 AM                Employment Trends for November

1:00 PM                  US Treasury to sell $40B in 10-year notes.

Other Key Events

Oppenheimer 5G Summit: The Revolution Continues, 12/11

Must read book about investing – check here

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