{"id":66965,"date":"2023-04-12T08:56:11","date_gmt":"2023-04-12T12:56:11","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=66965"},"modified":"2023-04-12T08:56:11","modified_gmt":"2023-04-12T12:56:11","slug":"coffee-with-greta-stocks-jump-on-cool-cpi","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/04\/12\/coffee-with-greta-stocks-jump-on-cool-cpi\/","title":{"rendered":"Coffee With Greta: Stocks Jump On Cool CPI"},"content":{"rendered":"

DJIA Futures: <\/b>+225 (+0.7%)<\/span><\/p>\n

SPX Futures: <\/b>+34 (+0.8%)<\/span><\/p>\n

NASDAQ Futures: <\/b>+135 (+1.0%)<\/span><\/p>\n

Good morning friends!<\/span><\/p>\n

Futures are jumping after a better-than-expected March CPI release.<\/span><\/p>\n

Let\u2019s get right to it!<\/span><\/p>\n

March CPI Cooler Than Expected<\/span><\/h2>\n

Inflation pressures continued to cool in March.\u00a0<\/span><\/p>\n

The Bureau of Labor Statistics\u2019 consumer price index rose 0.1% monthly and 5% year over year.\u00a0<\/span><\/p>\n

That was better than expectations for a 0.2% monthly and 5.1% annual gain.\u00a0<\/span><\/p>\n

Excluding food and energy, the core CPI rose 0.4% monthly and 5.6% annually, in line with expectations.<\/span><\/p>\n

Energy prices continued to decline on both a monthly and annual basis.\u00a0<\/span><\/p>\n

Gas dropped 4.6% monthly and 17.4% annually while oil prices fell 4.0% monthly and 14.2% year over year.\u00a0<\/span><\/p>\n

Grocery prices also fell 0.3% monthly but were up 8.4% annually.\u00a0<\/span><\/p>\n

This data is good news for the Fed\u2019s plans to pause rate hikes soon.\u00a0<\/span><\/p>\n

CME Group\u2019s FedWatch Tool shows just over 69% of traders anticipating a 25 basis point hike at the May 3 meeting.\u00a0<\/span><\/p>\n

The Fed will also release the minutes of its February meeting at 2:00 p.m. ET today.\u00a0<\/span><\/p>\n

That readout will give the market more insight into the FOMC\u2019s discussion around when it will be appropriate to pause rate hikes.<\/span><\/p>\n

Triton International Surges On Takeover Deal<\/span><\/h2>\n

Triton International <\/b>(TRTN) shares are surging 30.6% ahead of the open after announcing a takeover deal.\u00a0<\/span><\/p>\n

The company will be acquired by <\/span>Brookfield Infrastructure Partners <\/b>(BIP).<\/span><\/p>\n

The deal is a take-private acquisition that values Triton\u2019s equity at more than $4 billion, with an enterprise value of $13.3 billion.\u00a0<\/span><\/p>\n

Triton shareholders will receive $85 per share in cash and stock.\u00a0<\/span><\/p>\n

BIP shares are also up 0.9% in premarket trade.<\/span><\/p>\n

Mortgage Demand Jumps<\/span><\/h2>\n

Mortgage demand jumped last week as rates dropped to a two-month low.\u00a0<\/span><\/p>\n

The Mortgage Bankers Association reported purchase applications rose 8% weekly and were down 31% year over year.\u00a0<\/span><\/p>\n

Refinance applications were flat weekly and 57% lower annually.\u00a0<\/span><\/p>\n

The average 30-year fixed contract rate decreased to 6.30% from 6.40%, the lowest level in two months.\u00a0<\/span><\/p>\n

In Case You Missed It<\/span><\/h2>\n
    \n
  • Optimism among small business owners edged lower in March but still came in higher than expectations. The National Federation of Independent Business\u2019s Optimism index dipped to 90.1 last month from 90.9 in February. That was better than economists\u2019 expectations for 89. Owners expressed concerns about the short-term future with the number of those who expect real sales to be higher in the next six months dropping sharply.\u00a0<\/span><\/li>\n
  • The International Monetary Fund slashed its global growth forecast on Tuesday. The group now expects global GDP growth to be around 3% five years from now. That\u2019s the lowest forecast since 1990. The IMF\u2019s World Economic Outlook report said, \u201cThe world economy is not currently expected to return over the medium term to the rates of growth that prevailed before the pandemic.\u201d The group expects 2.8% growth this year and 3% in 2024. The U.S. economy is expected to expand 1.6% this year.<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

    DJIA Futures: +225 (+0.7%) SPX Futures: +34 (+0.8%) NASDAQ Futures: +135 (+1.0%) Good morning friends! Futures are jumping after a better-than-expected March CPI release. Let\u2019s get right to it! March CPI Cooler Than Expected Inflation pressures continued to cool in March.\u00a0 The Bureau of Labor Statistics\u2019 consumer price index rose 0.1% monthly and 5% year over year.\u00a0 That was better than expectations for a 0.2% monthly and 5.1% annual gain.\u00a0 Excluding food and energy, the core CPI rose 0.4% monthly and 5.6% annually, in line with expectations. Energy prices continued to decline on both a monthly and annual basis.\u00a0 Gas dropped 4.6% monthly and 17.4% annually while oil prices fell 4.0% monthly and 14.2% year over year.\u00a0 Grocery prices also fell 0.3% monthly but were up 8.4% annually.\u00a0 This data is good news for the Fed\u2019s plans to pause rate hikes soon.\u00a0 CME Group\u2019s FedWatch Tool shows just over 69% of traders anticipating a 25 basis point hike at the May 3 meeting.\u00a0 The Fed will also release the minutes of its February meeting at 2:00 p.m. ET today.\u00a0 That readout will give the market more insight into the FOMC\u2019s discussion around when it will be appropriate to pause rate hikes. Triton International Surges On Takeover Deal Triton International (TRTN) shares are surging 30.6% ahead of the open after announcing a takeover deal.\u00a0 The company will be acquired by Brookfield Infrastructure Partners (BIP). The deal is a take-private acquisition that values Triton\u2019s equity at more than $4 billion, with an enterprise value of $13.3 billion.\u00a0 Triton shareholders will receive $85 per share in cash and stock.\u00a0 BIP shares are also up 0.9% in premarket trade. Mortgage Demand Jumps Mortgage demand jumped last week as rates dropped to a two-month low.\u00a0 The Mortgage Bankers Association reported purchase applications rose 8% weekly and were down 31% year over year.\u00a0 Refinance applications were flat weekly and 57% lower annually.\u00a0 The average 30-year fixed contract rate decreased to 6.30% from 6.40%, the lowest level in two months.\u00a0 In Case You Missed It Optimism among small business owners edged lower in March but still came in higher than expectations. The National Federation of Independent Business\u2019s Optimism index dipped to 90.1 last month from 90.9 in February. That was better than economists\u2019 expectations for 89. Owners expressed concerns about the short-term future with the number of those who expect real sales to be higher in the next six months dropping sharply.\u00a0 The International Monetary Fund slashed its global growth forecast on Tuesday. The group now expects global GDP growth to be around 3% five years from now. That\u2019s the lowest forecast since 1990. The IMF\u2019s World Economic Outlook report said, \u201cThe world economy is not currently expected to return over the medium term to the rates of growth that prevailed before the pandemic.\u201d The group expects 2.8% growth this year and 3% in 2024. The U.S. economy is expected to expand 1.6% this year.<\/p>\n","protected":false},"author":41,"featured_media":66971,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-66965","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-coffee-with-greta"],"_links":{"self":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66965","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/users\/41"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/comments?post=66965"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66965\/revisions"}],"predecessor-version":[{"id":66972,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66965\/revisions\/66972"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/66971"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=66965"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=66965"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=66965"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}