What’s in Today’s Report:
- Why The October Sell Off Was Different
- Valuation Update (the market is fairly valued here)
Futures are moderately lower following more disappointing Chinese economic data.
Chinese auto sales plunged 12% yoy in November and annual car sales growth turned negative for the first time since the early 1990’s, further fanning fears of a Chinese economic slowdown.
Earnings results were mixed as DIS posted solid numbers while EU corporate earnings were disappointing.
Today focus will be on inflation via PPI (E: 0.2%) and it needs to remain “Goldilocks” so as to not put more downward pressure on stocks. We also have several Fed speakers (Williams (8:30 a.m. ET), Harker (8:50 a.m. ET), Quarles (9:00 a.m. ET)) although the next big Fed event will be Fed Chair Powell speaking on Tuesday.