||Wk Close: 9-9-22
Markets: The three-week slide was broken. Markets went up on Friday, even though Fed Governor Christopher Waller, in a speech given Friday, said he sees another significant rate hike when the FOMC meets in two weeks.
S&P roller coaster last week: Holiday, down, up significantly, up, and up a lot.
Beige Book: In the latest release the Fed saw the 12 economic Districts unchanged overall. The Cleveland District (#4), which had been down slightly the prior report, reversed course and was holding steady.
Fed Balance Sheet: $8.82 trillion.
ISM: The Institute for Supply Management released their Services index numbers. It moved up a touch from 56.7 up to 56.9. The consensus was for 55.4. Two notes: the services side is 70% of the economy; and a number over 50 denotes expansion of the economy.
Jobless claims: The weekly number came in at 222,000. The four-week average is 233,000
Radio: I gave Bill a preview of next week’s key inflation data. Here’s the link: https://parker-wealth.com/bill-and-chris-podcasts/bill-and-chris-fri-9-9. You can normally hear us on many Friday mornings at 6:38am, 7:38am, and 8:38am 1100 AM, WTAM.
Trade deficit: It came in at $70.7 billion for July.
Focus of the week: Inflation updates will capture everyone’s attention next week. Consumer inflation (CPI) is at 8.5%. Wholesale inflation (PPI) is at 9.8%. Yes, both of those numbers are off their peak, but still near 40-year highs. A further reduction (two months in a row) might mean inflation is tempering. Or will it stabilize? Or will it go back up?
Economic calendar: CPI (Tue); PPI (Wed); retail sales, industrial production, and jobless claims (Thu).