Two Steps Forward, One Step Back
The official Italian budget produced a deficit of 2.4% of GDP, larger than hoped by markets. The euro extended its loses from Thursday and German bund yields declined following the announcement and more.
Fed Takeaways
Today there are multiple economic reports including Durable Goods Orders (E: 2.2%), Final Q2 GDP (E: 4.3%), Jobless Claims (E: 216K) and Pending Home Sales (E: 0.0%) as well as two Fed speakers, Kaplan (2:00 p.m. ET), Powell (4:30 p.m. ET). But, Powell just spoke at length yesterday so he shouldn’t say anything too surprising. Meanwhile, unless we get a very disappointing Durable Goods report, the economic data shouldn’t move markets.
Fed Wildcard to Watch
Today, the main market focus will be the Fed Events: FOMC Announcement and Forecasts (2:00 p.m. ET), Fed Chair Press Conference (2:30 p.m. ET) although, there is also one economic report out in the U.S. this morning: New Home Sales (E: 630K), stock futures are slightly positive this morning and more.
Tom Essaye Quoted in Fox Business on September 25, 2018
The Federal Reserve appears ready to hike interest rates Wednesday for the third time this year, as the central bank responds to rising inflation and robust hiring by U.S. employers. “Something pretty significant would have to happen for the Fed not to hike in December,” said Tom Essaye, founder and editor of The Sevens Report.
Tyler Richey on U.S. News, September 21, 2018
Trade tensions have hit certain commodities more, with copper one of the commodities to fall. Prices are down 22 percent year-to-date.
Rate Hike Preview
Today’s session is not likely to be a very exciting one with the Fed looming tomorrow but there are some housing market reports due out before the bell, US stock futures are pointing to a modest rebound this morning after yesterday’s pullback, on a positive note, the US did sign a revised trade deal with South Korea and more.
Jobs Day
/in Investing, Reports/by Tom EssayeWhat’s in Today’s Report: Jobs Day, Key VIX Levels to Watch.