Stocks fell on Thursday as investors digested the latest round of economic and earnings data. Before the open, the government said U.S. GDP rose 1.4% in the second quarter, beating estimates for 1.1%. Mid-day, stocks were slammed after some Deutsche Bank clients reduced collateral on trades. Separately, shares of Wells Fargo (WFC) took out their Feb 2016 low.
Stocks rallied on Wednesday as investors digested a rather busy day. Six Fed heads spoke, including Janet Yellen, with the big headline coming from Mr. Evans. Mr. Evans said, rates should stay low for a long time, and that sparked a nice afternoon rally. Elsewhere, oil surged after rumor spread that OPEC will cut production in November. Shares of Nike ($NKE) and Tempur Sealy International ($TPX) both fell after reporting earnings. Finally, economic data was mixed. Durable Goods Orders, were unchanged last month, beating estimates for a decline of -1.9%. Year-over-year, orders fell -1.3%, beating estimates for a decline of -4.1%. Elsewhere, MBA Mortgage Applications fell -0.7%, which was better than last week’s reading of -7.3%.
Gary’s Thoughts: Oil…oil…and more oil. And OPEC still hasn’t met yet.
Stock futures are flat ahead of Thursday’s open as investors approach the end of the month and the end of quarter.
Gary’s Thoughts: Energy on radar screen now.
- Patrick Harker Speaks 5:00 AM ET
- GDP 8:30 AM ET
- International Trade in Goods 8:30 AM ET
- Jobless Claims 8:30 AM ET
- Corporate Profits 8:30 AM ET
- Dennis Lockhart Speaks 8:50 AM ET
- Bloomberg Consumer Comfort Index 9:45 AM ET
- Jerome Powell Speaks 10:00 AM ET
- Pending Home Sales Index 10:00 AM ET
- EIA Natural Gas Report 10:30 AM ET
- Neel Kashkari Speaks 2:30 PM ET
- Esther George Speaks 4:15 PM ET
- Fed Balance Sheet 4:30 PM ET
- Money Supply 4:30 PM ET
- Janet Yellen Speaks 5:10 PM ET
- Oil surges after OPEC agrees to cut production in November
Gary’s Thoughts: We shall see if this sticks.
- Fed’s Evans said, Rates Will Stay Easy For A Very Long Time
Gary’s Thoughts: So 8 years at 0% is not a long time?