The Producer Price Index dipped 0.5% in October, compared with the 0.1% increase expected and the 0.4% rise in September (revised from +0.5%). The month-over-month decline marks the largest decrease in final demand prices since April 2020. On a year-over-year basis, the PPI rose 1.3%, significantly less than the 2.0% increase expected and the 2.2% Y/Y increase in September. Core PPI, which excludes food and energy, was unchanged M/M vs. +0.3% expected and +0.2% prior (revised from +0.3%). Treasury ETF TLT is down 1.36% as 10 year yield rises to 4.537%.
October retail sales inched down 0.1% M/M to $705.0B, compared with the 0.3% decrease expected and decelerating from the 0.9% increase in September (revised from +0.7%). Core retail sales, meantime, ticked up 0.1%, topping the -0.2% consensus and slowing from +0.8% in the prior month (revised from +0.6%). Retail sales rose 2.5% year-over-year in October and were down 0.1% on a month-over-month comparison.
Target (TGT) posted higher than expected income in the third quarter and delivered a forecast for its current three month period that was largely above Wall Street expectations, as the big box retailer moved to clear ou inventories and corral costs. TGT is up 17%. TJX Companies (TJX) slipped 3.22% despite posting a Q3 earnings topper. The retailer reporting comparable sales of 6% in Q3 to top the consensus expectation of +4.5%, with customer traffic up across all divisions. However, holiday quarter guidance disappoints.
After retracing 2 days in a row from a little over $38000, Bitcoin found support at breakout point $35000 and is now trading at $36242, up $936 from yesterdy. Bit coin trend is still up waiting for spot Bitcoin ETFs approval to be announced. Most people expected approval will come on January while Kevin O'Leary warns spot Bitcoin ETF approval could be 18 months away (this was the reason for Bitcoin sell off for yesterday).
Major U.S. stock market indexes rose an average of 0.4%. However, 4 out of 7 mega tech stocks fell, with the Tech Nasdaq 100 ETF QQQ still trading below its July high of 387.42 points. It is currently trading at 387.21. After surging nearly 13% in 2 1/2 weeks, tech stocks are already showing some signs of weakness and may need to correct before moving forward. QQQ support is 380 and resistance is 388. U.S. stocks not likely to rise much today and should be wary of starting to fall, dragged down by rising interest rates and weaker mega technology stocks.
No comments:
Post a Comment