How AI Turned Into a Market Headwind
What’s in Today’s Report:
- How AI Turned Into a Market Headwind
- Updated Market Outlook: Three “AI Problems” to Monitor
- Weekly Economic Cheat Sheet – The First February Data Is In Focus
Stock futures are lower with tech leading amid ongoing AI-narrative worries while bond yields are bleeding lower on global growth concerns.
Economically, U.K. Unemployment rose to a 5-year high of 5.2% vs. (E) 5.1% while German CPI held steady at 2.1%.
Looking ahead to today’s session, economic data will be in focus early with the Empire State Manufacturing Index (E: 10.0) and latest Housing Market Index (E: 38) both due to be released.
Moving into the afternoon, there are a pair of Fed officials scheduled to speak: Barr (12:45 p.m. ET) and Daly (2:30 p.m. ET) as well as a 52-Week Treasury Bill auction at 1:00 p.m. ET. The auction results could offer fresh insight on the market’s outlook for Fed policy between now and yearend and subsequently could move markets (stocks and bonds) this afternoon.
Finally, earnings season continues this week with Q4 results due from ET ($0.34), MDT ($1.33), LDOS ($2.57), and PANW ($0.49).