Fed Day
What’s in Today’s Report:
- FOMC Preview (Abbreviated Version)
- Reserve Bank of Australia Decision
- CME FedWatch Tool – Chart
Stock futures are little changed near record highs as a sense of Fed paralysis grips the markets ahead of the FOMC announcement today.
Economic data overnight was slightly better than expected (both the Chinese PMI Composite and Eurozone Unemployment rate beat) but the market reaction was limited with the Fed in focus.
This morning, there are several fairly important economic reports to watch as the ADP Employment Report (E: 400K) kicks off jobs week before the bell, and then we get both Factory Orders (E: 0.1%) and the ISM Services Index (E: 61.9) shortly after the open. Unless there are major surprises in any of the reports, however, the market impact should be limited with the Fed looming.
After the data is released, markets are likely to quiet down ahead of the FOMC Announcement (2:00 p.m. ET) and Fed Chair Press Conference (2:30 p.m. ET) which will be the session’s main events.
Finally, earnings will continue to roll out with CVS ($1.79), MAR ($0.97), and HUM ($4.61) releasing results before the open, and ROKU ($0.06), QCOM ($2.26), and MGM (-$0.04) reporting after the close.
