We went from ‘the Federal Reserve could hardly cut in September’ to ‘it would be a mistake not to cut in July or September’ in the blink of an eye. Everything seems upside down since last week. The Big Tech stocks that have been rallying relentlessly since the beginning of 2023 are hit hard by rapid outflows as worries regarding the AI spending and the realization that it may take time to see the benefits of this massive spending push investors to take a part of their profits and walk away.
Consumer spending grew 2.3% and helped keep the US economy on a strong path – although the savings are melting and credit card debt is rising to levels not seen in a decade.prices eased from 3.7% to 2.9% during the quarter.
We have one more important data to go before next week’s decision: the core PCE index, the Fed’s favorite gauge of inflation. That number is expected to show a slight slowdown from 2.6% to 2.5%, although we may see a certain quickening in the monthly figure. But all in all, if not catastrophic, the Fed will probably hint that a rate cut is coming in fall when they meet next week.hovered around the 200-DMA as the economic picture wasn’t as sunny as in the US elsewhere.
And note that Hermes couldn’t escape the luxury selloff even after announcing that its own sales jumped. Stellantis fell more than 7% after revealing that their earnings plunged in the H1 and Nestle dropped 5% after downgrading its sales outlook for the year. All in all, the earnings didn’t look great.
Belgique Dernières Nouvelles, Belgique Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
La source: Investingcom - 🏆 450. / 53 Lire la suite »