(Finance) – Wall Street continues to trade at the same levels as yesterday, after the key data on American PCE inflation, the Fed’s preferred measure for assessing price trends, which was in line with expectations in May, that is, slowing to 2.6% from 2.8% in April.
“The May US personal income and spending report is encouraging for those who believe inflationary pressures are easing again after being too high in the first three months of the year,” said James Knightley, Chief International Economist, ING. The core personal consumption expenditure (PCE) deflator – a broader measure of inflationary pressures than the consumer price inflation (CPI) that the Fed prefers to focus on – came in at 0.1% for the month and 2.6% for the year. This was expected given the components within the CPI and PPI reports, but after so many upside surprises this year, it is a relief. The headline measure (including food and energy) came in at 0% for the month and 2.6% for the year, as expected. “Inflation is behaving better, which could open the door to interest rate cuts later in the year.”
“Overall, Federal Reserve policy appears to be gradually achieving the desired effect: slowing demand to cool inflation, says Christian Scherrmann, US Economist at DWS. Looking ahead, we expect the disinflationary process to continue, as it is expected However, the very slow pace of inflation, as seen in May, is unlikely to persist Federal Reserve May data suggests it is on the right track, but further progress is likely needed before considering an interest rate adjustment Our projections point to a potential first rate cut in December, albeit an acceleration the slowdown in labor market conditions could lead to an earlier rate adjustment, perhaps as early as November or even September.”
Among US indices, the Dow Jones reports a variation of -0.07% along the same lines, a day without infamy and without praise for theS&P-500, which remains at 5,481 points. On the levels of the day before the Nasdaq 100 (+0.01%); along the same lines, consolidates the levels of the day beforeS&P 100 (-0.09%).
Power (+0.53%) and financial (+0.51%) in good light on the S&P 500 list. Among the most negative on the S&P 500 basket list, we find the sectors utilities (-1.39%), secondary consumer goods (-1.12%) and telecommunications (-0.72%).
At the top of the rankings of American giants components of the Dow Jones, Salesforce (+2.03%), United Health (+1.80%), Intel (+1.70%) e American Express (+1.51%).
The strongest sales, however, occur at Nikewhich continues trading at -20.05%.
In red Walt Disneywhich shows a sharp decline of 3.23%.
The negative performance of stands out Travelers Companywhich falls by 1.70%.
McDonald’s drops by 1.57%.
To the top between Wall Street tech giantsthey position themselves SiriusXMRadio (+2.75%), Qualcomm (+2.58%), Applied Materials (+2.47%) e MicrochipTechnology (+2.23%).
The strongest drops, however, occur on Lululemon Athleticawhich continues the session with -2.75%.
Decline decided for Modernwhich marks a -2.42%.
Under pressure Constellation Energywith a sharp decline of 1.83%.
He suffers Trade Deskwhich shows a loss of 1.80%.
Between macroeconomic quantities most important US markets:
Friday 06/28/2024
2.30pm USA: Personal expenses, monthly (expected 0.3%; previous 0.1%)
2.30pm USA: Personal income, monthly (expected 0.4%; prev. 0.3%)
3.45pm USA: Chicago PMI (expected 40 points; previously 35.4 points)
4:00 pm USA: Michigan University Consumer Confidence (expected 65.9 points; previously 69.1 points)
Wednesday 03/07/2024
2.30pm USA: Trade balance.