A Busy and Important Week for Markets
What’s in Today’s Report:
- There Are Still Risks to the Rally
- Weekly Market Preview: How Strong is the Economic Recovery?
- Weekly Economic Cheat Sheet: A Busy and Important Week
Futures are modestly lower following a quiet weekend as markets digest last week’s rally.
Chinese November PMIs were solid (manufacturing PMI 52.1 vs. (E) 51.5 and Services PMI 56.4 vs. (E) 56.2) implying the economic recovery is on going, which is a general positive for global growth.
Coronavirus cases and the amount/intensity of lockdowns appear to be leveling off in the near term, although at very elevated and stringent levels (and there are fears of a post-Thanksgiving spike in infections over the coming weeks).
Today there is just one economic report, Pending Home Sales (E: 2.0%) and no Fed speakers, so we can expect markets to focus on any headlines regarding the two key macro variables: Stimulus (when and how much?) and Lockdowns (will there be more?).
