
M Notes: Mon, 1-27
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Week Close: 1-24-25 | + (-) | % |
---|---|---|---|
Dow | 44,424 | +936 | +2.2% |
S&P | 6,101 | +104 | +1.7% |
Nasdaq | 19,954 | +324 | +1.7% |
10-year | 4.62 | +0.00 | +0.0% |
Oil | 74.60 | -3.37 | -4.3% |
LAST WEEK:
Markets: The Trump Trade continues.
S&P roller coaster last week: Holiday, Up a lot, Up, Up, and Down.
Fed Balance Sheet: $6.832 Trillion.
Housing: Existing home sales were up +2.2% in December, and were up +9.3% Y/Y. Even though the ending numbers were positive, it’s the Lowest existing homes sales rate in 30 years. Two weeks ago, Starts were up +15.8% in December, but were down -4.4% Y/Y.
Jobless claims: The weekly number came in at 223,000. The four-week average came in at 214,000.
National Debt: $36.403 Trillion.
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THIS WEEK:
First Focus of the week: Are we looking at a Tech Bubble bursting? Nvidia shares were down sharply in premarket trading due to a Chinese competitor offering AI at a lower price. It could be a bumpy day.
Second Focus of the week: The Federal Reserve’s Open Market Committee (the FOMC) meets for the first time this year tomorrow and Wednesday. It’s no secret that Fed Chair Jerome Powell and President Trump are not friends. What will the Fed do with their interest rate? Will they continue to reduce their balance sheet? Will they give guidance for what they hope to accomplish (beyond the platitudes of their two missions)? Will Powell finish out his term? Inquiring minds want to know.
Third Focus of the week: Inflation. The Personal Consumption & Expenditures index gets updated Friday morning. This is the Inflation measure the Fed watches the most. The PCE is expected to climb from 2.4% up to 2.6%, while Core PCE is expected to remain at 2.8%.
Calendar: New home sales (Mon); durable goods orders (Tue); Fed meeting statement, Fed Chair press conference (Wed); the 2nd read on Q4 GDP, jobless claims (Thu); and the PCE (Fri).
Earnings: Some of the companies reporting this week: Apple, AT&T, Boeing, Caterpillar, Chevron, Comcast, Eaton, Exxon Mobil, IBM, Intel, Lockheed Martin, General Motors, Mastercard, Meta, Microsoft, Shell, Sherwin Williams, Starbucks, Tesla, UPS, and Visa.