{"id":71918,"date":"2023-11-01T08:58:08","date_gmt":"2023-11-01T12:58:08","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=71918"},"modified":"2023-11-01T08:58:08","modified_gmt":"2023-11-01T12:58:08","slug":"coffee-with-greta-fed-decision-looms","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/11\/01\/coffee-with-greta-fed-decision-looms\/","title":{"rendered":"Coffee With Greta: Fed Decision Looms"},"content":{"rendered":"

Register now<\/strong><\/a> for today's free pro trader Q&A on LinkedIn with Scott Redler after the Fed decision!<\/p>\n

DJIA Futures: <\/b>-28 (-0.1%)<\/span><\/p>\n

SPX Futures: <\/b>+2 (+0.04%)<\/span><\/p>\n

NASDAQ Futures: <\/b>+8 (+0.1%)<\/span><\/p>\n

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

Futures are flat as traders await this afternoon\u2019s Fed decision.<\/span><\/p>\n

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

Private Job Growth Weaker Than Expected<\/span><\/h2>\n

The U.S. private sector added fewer jobs than expected in October.\u00a0<\/span><\/p>\n

Payroll firm ADP reported private employers added 113,000 jobs last month vs 130,000 expected.\u00a0<\/span><\/p>\n

That was still an increase from 89,000 in September.<\/span><\/p>\n

Wages rose 5.7% from a year ago, the smallest annual gain since October 2021.\u00a0<\/span><\/p>\n

Education and health services added the most jobs with 45,000 new workers.\u00a0<\/span><\/p>\n

Trade, transportation and utilities added 35,000, financial activities added 21,000, and leisure and hospitality added 17,000.\u00a0<\/span><\/p>\n

Nearly all of the added jobs were in service-providing industries with goods producers adding just 6,000.\u00a0<\/span><\/p>\n

This report comes ahead of the official Labor Department jobs report on Friday.\u00a0<\/span><\/p>\n

That\u2019s expected to show the economy added 170,000 jobs in October with the unemployment rate unchanged at 3.8%.\u00a0<\/span><\/p>\n

AMD Slips On Soft Q4 Guidance<\/span><\/h2>\n

Advanced Micro Devices <\/b>(AMD) shares are down 0.4% ahead of the open after beating Q3 expectations but issuing a weak forecast.\u00a0<\/span><\/p>\n

Here\u2019s how the chipmaker\u2019s results compared to analysts\u2019 estimates:\u00a0<\/span><\/p>\n

    \n
  • Adjusted EPS: $0.70 vs $0.68 expected<\/span><\/li>\n
  • Revenue: $5.8 billion vs $5.7 billion expected<\/span><\/li>\n<\/ul>\n

    Revenue was up 4% year over year.\u00a0<\/span><\/p>\n

    The data center group reported $1.6 billion in sales, flat from a year ago.\u00a0<\/span><\/p>\n

    AMD\u2019s Client group reported $1.5 billion in sales, up 42% year over year.<\/span><\/p>\n

    Sales in the gaming segment fell 8% from a year ago to $1.5 billion, due to fewer \u201csemi-custom\u201d chip sales.<\/span><\/p>\n

    AMD said it expects about $6.1 billion in Q4 sales vs $6.37 billion expected.<\/span><\/p>\n

    CVS Drops After Slashing Outlook<\/span><\/h2>\n

    CVS Health <\/b>(CVS) shares are dropping 4.6% in premarket trade after beating Q3 expectations but cutting its outlook.\u00a0<\/span><\/p>\n

    Here\u2019s how the healthcare company\u2019s results compared to analysts\u2019 estimates:\u00a0<\/span><\/p>\n

      \n
    • EPS: $2.21 vs $2.13 expected<\/span><\/li>\n
    • Revenue: $89.8 billion vs $88.3 billion expected<\/span><\/li>\n<\/ul>\n

      But the company cut its full-year outlook for the third consecutive quarter.\u00a0<\/span><\/p>\n

      CVS now expects full-year earnings to be between $6.37 and $6.61, down from its original forecast of $7.73 to $7.93.\u00a0<\/span><\/p>\n

      The CEO said, \u201cDespite a challenging business environment, we continue adapting to the changing needs of our consumers by connecting our care delivery capabilities in communities across the country, broadening access to care and lowering costs.\u201d<\/span><\/p>\n

      Adjustable-Rate Mortgage Demand Jumps<\/span><\/h2>\n

      Total mortgage demand continued to fall last week but buyers are increasingly turning to adjustable-rate mortgages.\u00a0<\/span><\/p>\n

      The Mortgage Bankers Association reported purchase applications fell 1% weekly and 22% year over year.\u00a0<\/span><\/p>\n

      Refinance applications dropped 4% weekly and 12% annually.\u00a0<\/span><\/p>\n

      But adjustable-rate applications jumped nearly 10% from the week before.\u00a0<\/span><\/p>\n

      ARMs made up 10.7% of all applications last week, the largest share in nearly a year.\u00a0<\/span><\/p>\n

      The average 30-year fixed contract rate decreased to 7.86% from 7.90% last week while the average 5\/1 ARM rate decreased to 6.77%.<\/span><\/p>\n

      In Case You Missed It<\/span><\/h2>\n
        \n
      • U.S. home prices rose for the sixth month in a row in August. The S&P CoreLogic Case-Shiller 20-city house price index increased 1% from July vs 0.8% expected. The index was up 2.2% year over year. The national index also rose 0.9% monthly and 2.6% annually.\u00a0<\/span><\/li>\n
      • Consumer confidence dropped to a five-month low in October. The Conference Board\u2019s consumer confidence index fell to 102.6 from 104.3 in September. That was better than economists\u2019 expectations for the index to fall to 100. Confidence in current economic conditions fell to 143.1 from 146.2. The six-month expectations index fell to 75.6 from 76.4, remaining below the 80 mark that is believed to signal a recession.<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

        Register now for today’s free pro trader Q&A on LinkedIn with Scott Redler after the Fed decision! DJIA Futures: -28 (-0.1%) SPX Futures: +2 (+0.04%) NASDAQ Futures: +8 (+0.1%) Good morning friends! Futures are flat as traders await this afternoon\u2019s Fed decision. Let\u2019s get right to it! Private Job Growth Weaker Than Expected The U.S. private sector added fewer jobs than expected in October.\u00a0 Payroll firm ADP reported private employers added 113,000 jobs last month vs 130,000 expected.\u00a0 That was still an increase from 89,000 in September. Wages rose 5.7% from a year ago, the smallest annual gain since October 2021.\u00a0 Education and health services added the most jobs with 45,000 new workers.\u00a0 Trade, transportation and utilities added 35,000, financial activities added 21,000, and leisure and hospitality added 17,000.\u00a0 Nearly all of the added jobs were in service-providing industries with goods producers adding just 6,000.\u00a0 This report comes ahead of the official Labor Department jobs report on Friday.\u00a0 That\u2019s expected to show the economy added 170,000 jobs in October with the unemployment rate unchanged at 3.8%.\u00a0 AMD Slips On Soft Q4 Guidance Advanced Micro Devices (AMD) shares are down 0.4% ahead of the open after beating Q3 expectations but issuing a weak forecast.\u00a0 Here\u2019s how the chipmaker\u2019s results compared to analysts\u2019 estimates:\u00a0 Adjusted EPS: $0.70 vs $0.68 expected Revenue: $5.8 billion vs $5.7 billion expected Revenue was up 4% year over year.\u00a0 The data center group reported $1.6 billion in sales, flat from a year ago.\u00a0 AMD\u2019s Client group reported $1.5 billion in sales, up 42% year over year. Sales in the gaming segment fell 8% from a year ago to $1.5 billion, due to fewer \u201csemi-custom\u201d chip sales. AMD said it expects about $6.1 billion in Q4 sales vs $6.37 billion expected. CVS Drops After Slashing Outlook CVS Health (CVS) shares are dropping 4.6% in premarket trade after beating Q3 expectations but cutting its outlook.\u00a0 Here\u2019s how the healthcare company\u2019s results compared to analysts\u2019 estimates:\u00a0 EPS: $2.21 vs $2.13 expected Revenue: $89.8 billion vs $88.3 billion expected But the company cut its full-year outlook for the third consecutive quarter.\u00a0 CVS now expects full-year earnings to be between $6.37 and $6.61, down from its original forecast of $7.73 to $7.93.\u00a0 The CEO said, \u201cDespite a challenging business environment, we continue adapting to the changing needs of our consumers by connecting our care delivery capabilities in communities across the country, broadening access to care and lowering costs.\u201d Adjustable-Rate Mortgage Demand Jumps Total mortgage demand continued to fall last week but buyers are increasingly turning to adjustable-rate mortgages.\u00a0 The Mortgage Bankers Association reported purchase applications fell 1% weekly and 22% year over year.\u00a0 Refinance applications dropped 4% weekly and 12% annually.\u00a0 But adjustable-rate applications jumped nearly 10% from the week before.\u00a0 ARMs made up 10.7% of all applications last week, the largest share in nearly a year.\u00a0 The average 30-year fixed contract rate decreased to 7.86% from 7.90% last week while the average 5\/1 ARM rate decreased to 6.77%. In Case You Missed It U.S. home prices rose for the sixth month in a row in August. The S&P CoreLogic Case-Shiller 20-city house price index increased 1% from July vs 0.8% expected. The index was up 2.2% year over year. The national index also rose 0.9% monthly and 2.6% annually.\u00a0 Consumer confidence dropped to a five-month low in October. The Conference Board\u2019s consumer confidence index fell to 102.6 from 104.3 in September. That was better than economists\u2019 expectations for the index to fall to 100. Confidence in current economic conditions fell to 143.1 from 146.2. The six-month expectations index fell to 75.6 from 76.4, remaining below the 80 mark that is believed to signal a recession.<\/p>\n","protected":false},"author":41,"featured_media":71929,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-71918","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\/71918","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=71918"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/71918\/revisions"}],"predecessor-version":[{"id":71932,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/71918\/revisions\/71932"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/71929"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=71918"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=71918"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=71918"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}