How Disinflation Can Be Negative for Stocks
What’s in Today’s Report:
- How Disinflation Can Be Negative for Stocks
Futures are modestly higher on more Goldilocks global economic data and after there were no major earnings disappointments overnight.
Economically, Japanese CPI met expectations (up 3.3% y/y) while UK Retail Sales were better than expected (0.7% vs. (E) 0.1%).
On earnings, transports CSX and KMX both missed estimates, but it’s not impacting the broader markets as results were expected to be soft and the companies offered some positive commentary.
Today there are no notable economic reports so focus will be on earnings, and the highlight today is AXP ($2.80), as markets will want to hear insight into the state of more affluent spenders. Other notable results today include AN ($5.83) and CMA ($1.89).
