Isn’t everything breaking news these days? I laughed when seeing that headline for today’s inflation reading. Most people getting up this morning won’t care at all about that…just us in the markets. Anyway, the Fed’s favorite inflation data point shows prices rose at a 3.2%+ annual rate in Nov, which was less than expected. So, mission accomplished.
The NASDAQ 100 is just 37 bps away from having its best year since 1999, per BTIG. Hopefully that doesn’t mean we’re going to have another Pets.com moment anytime soon.
Hedge funds are concentrated, per Yahoo!
Not a lot of supply expected over the coming week, barring an extraordinary move. A 1% move down creates $5bn of supply, which can be handled, per BTIG.
The energy market is energized because of the Red Sea challenges, with oil up another 1%, per Reuters. But BBG has a really interesting story out about EVs in China, and how their prevalence will cut the demand for oil. See the chart below for the big picture. The data in the story is incredible, so I highly recommend a read.
In China, the gov proposed rules that would restrict the amount of money and time that people can spend on online games. Tencent led an $80 billion rout in Chinese tech companies in the market. But could you imagine the uprising of teenagers (and men, let’s just call it out) if that happened in the US? Bananas.
Nike’s revenue outlook was lower than expected given its slow China biz and other EMEA biz, per Bloomberg.
Japan’s core inflation slowed to 2.5% in Nov. So, they’re not continuing to get stronger inflation readings. Also, the gov is reducing spending for the 1st time in 12 yrs for the 2024-2025 budget, per Reuters.