Solid PMIs and new home sales nudges S&P 500 higher

The S&P 500 closed up 0.43% to 3,131.29 as manufacturing and services PMIs came in ahead of expectations. The US census bureau also announced firm new home sales numbers of 676,000 for May, which translates into a 16.6% month-on-month increase. Market expectations were for a 2.9% month-on-month increase in new home sales on April’s figure,

Fed announces interest rates will remain close to zero through 2022

During yesterday’s press conference, Federal Reserve chairman Jerome Powell made it clear that the United States’ central bank will continue to apply stimulus to its economy until its severely damaged labour market has recovered from the impact of the coronavirus. He stated the Federal Open Market Committee “aren’t even thinking about thinking about raising rates”,

Blowout non-farm payrolls boosts risk sentiment

Figures out of the US bureau of labour statistics showed a surprise rise in employment of 2.5m versus market expectations for an 8m decline. The S&P 500 opened 1.66% higher as a result of this shockingly good news and, at the time of writing, is set to close almost 3% higher. The market reaction across

Lower-than-expected fall in private payrolls lifts US markets ahead of Friday’s NFPs

By Thomas Belayneh Automatic data processing’s (ADP) closely watched national employment report on the private sector payrolls it processes revealed 2,760,000 million jobs were lost in the month to 12th May. This was far better than the consensus expectation of a culling of 9,000,000 million jobs and prompted the S&P 500 to rally 1.38% higher

US markets mellow following dire economic data

By Thomas Belayneh Retail sales and initial jobless claims were expected to be weak and boy did they deliver. The median forecast for retail sales was -12% – a wise forecast given the widespread “stay-at-home” orders that have shuttered most high-street businesses across the US. However, Friday’s print -16.4% still packed a punch to even

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