{"id":72447,"date":"2023-11-30T09:02:17","date_gmt":"2023-11-30T14:02:17","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=72447"},"modified":"2023-11-30T09:02:17","modified_gmt":"2023-11-30T14:02:17","slug":"coffee-with-greta-inflation-cools-rally-continues","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/11\/30\/coffee-with-greta-inflation-cools-rally-continues\/","title":{"rendered":"Coffee With Greta: Inflation Cools, Rally Continues"},"content":{"rendered":"

Register now<\/strong><\/a> for next week's free pro trader Q&A on LinkedIn with Derrick Oldensmith!<\/p>\n

DJIA Futures: <\/b>+245 (+0.7%)<\/span><\/p>\n

SPX Futures: <\/b>+19 (+0.4%)<\/span><\/p>\n

NASDAQ Futures: <\/b>+59 (+0.4%)<\/span><\/p>\n

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

Futures are higher as the rally continues after the release of more cooling inflation data.\u00a0<\/span><\/p>\n

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

Fed\u2019s Preferred Inflation Gauge<\/span><\/h2>\n

The Fed\u2019s preferred inflation gauge cooled as expected in October.\u00a0<\/span><\/p>\n

The PCE price index was flat monthly and rose 3% year over year.\u00a0<\/span><\/p>\n

That was down from the 3.4% annual pace in September.\u00a0<\/span><\/p>\n

Energy prices dropped 2.6% as food prices rose 0.2%>\u00a0<\/span><\/p>\n

The core PCE price index rose 0.2% monthly and 3.5% year over year, as expected.\u00a0<\/span><\/p>\n

That was a slowdown from the 3.7% annual pace in September and the lowest increase since Spring 2021.<\/span><\/p>\n

The report also showed personal spending rose 0.2% and incomes were up 0.2% as well, both in line with expectations.\u00a0<\/span><\/p>\n

Weekly Jobless Claims Tick Higher<\/span><\/h2>\n

Weekly jobless claims rose less than expected last week.\u00a0<\/span><\/p>\n

The Labor Department reported 218,000 Americans filed initial claims for unemployment benefits.\u00a0<\/span><\/p>\n

That was up by 7,000 from the week before but lower than expectations for 220,000.\u00a0<\/span><\/p>\n

Continuing claims rose by 86,000 to 1.927 million in the week ending November 18.<\/span><\/p>\n

That\u2019s the highest number of continuing claims since November 2021.<\/span><\/p>\n

Ford Reinstates Guidance<\/span><\/h2>\n

Ford <\/b>(F) shares are up 1.2% ahead of the open after reinstating its 2023 guidance this morning.\u00a0<\/span><\/p>\n

The automaker originally pulled its forecast last month due to unknown impacts from the labor strike by the United Auto Workers Union.<\/span><\/p>\n

The new guidance calls for adjusted EBIT of $10 billion to $10.5 billion this year vs $11 billion and $12 billion previously.\u00a0<\/span><\/p>\n

Ford expects to have a full-year adjusted cash flow of $5 billion to $5.5 billion vs $6.5 billion to $7 billion previously.\u00a0<\/span><\/p>\n

The company said its new labor agreement with UAW is expected to cost over $8.8 billion over the life of the contract, through April 2028.<\/span><\/p>\n

By 2028, the UAW is expected to add $900 in costs per assembled vehicle.\u00a0<\/span><\/p>\n

Salesforce Jumps On Earnings Beat<\/span><\/h2>\n

Salesforce <\/b>(CRM) shares are rallying 9% in premarket trade after beating Q3 expectations.\u00a0<\/span><\/p>\n

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

    \n
  • Adjusted EPS: $2.11 vs $2.06 expected<\/span><\/li>\n
  • Revenue: $8.72 billion as expected<\/span><\/li>\n<\/ul>\n

    Revenue rose 11% year over year.<\/span><\/p>\n

    Salesforce expects revenue to increase 10% in Q4 to between $9.18 billion and $9.23 billion vs $9.21 billion analysts were expecting.\u00a0\u00a0<\/span><\/p>\n

    The company also said it now sees operating cash flow growth of 33% in 2024 vs 30% previously.\u00a0<\/span>\u00a0<\/span><\/p>\n

    In Case You Missed It<\/span><\/h2>\n
      \n
    • The Fed\u2019s Beige Book on Tuesday showed both the U.S. economy and inflation slowed in October and November. Six of the 12 regional Fed banks in the survey reported slight declines in economic activity. The report said, \u201cDemand for labor continued to ease, as most districts reported flat to modest increases in overall employment.\u201d Slowing economic growth and labor demand helped ease inflation. The Beige Book said price increases \u201clargely moderated\u201d across the country and \u201cmost districts expect moderate price increases to continue into next year.\u201d<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

      Register now for next week’s free pro trader Q&A on LinkedIn with Derrick Oldensmith! DJIA Futures: +245 (+0.7%) SPX Futures: +19 (+0.4%) NASDAQ Futures: +59 (+0.4%) Good morning friends! Futures are higher as the rally continues after the release of more cooling inflation data.\u00a0 Let\u2019s get right to it! Fed\u2019s Preferred Inflation Gauge The Fed\u2019s preferred inflation gauge cooled as expected in October.\u00a0 The PCE price index was flat monthly and rose 3% year over year.\u00a0 That was down from the 3.4% annual pace in September.\u00a0 Energy prices dropped 2.6% as food prices rose 0.2%>\u00a0 The core PCE price index rose 0.2% monthly and 3.5% year over year, as expected.\u00a0 That was a slowdown from the 3.7% annual pace in September and the lowest increase since Spring 2021. The report also showed personal spending rose 0.2% and incomes were up 0.2% as well, both in line with expectations.\u00a0 Weekly Jobless Claims Tick Higher Weekly jobless claims rose less than expected last week.\u00a0 The Labor Department reported 218,000 Americans filed initial claims for unemployment benefits.\u00a0 That was up by 7,000 from the week before but lower than expectations for 220,000.\u00a0 Continuing claims rose by 86,000 to 1.927 million in the week ending November 18. That\u2019s the highest number of continuing claims since November 2021. Ford Reinstates Guidance Ford (F) shares are up 1.2% ahead of the open after reinstating its 2023 guidance this morning.\u00a0 The automaker originally pulled its forecast last month due to unknown impacts from the labor strike by the United Auto Workers Union. The new guidance calls for adjusted EBIT of $10 billion to $10.5 billion this year vs $11 billion and $12 billion previously.\u00a0 Ford expects to have a full-year adjusted cash flow of $5 billion to $5.5 billion vs $6.5 billion to $7 billion previously.\u00a0 The company said its new labor agreement with UAW is expected to cost over $8.8 billion over the life of the contract, through April 2028. By 2028, the UAW is expected to add $900 in costs per assembled vehicle.\u00a0 Salesforce Jumps On Earnings Beat Salesforce (CRM) shares are rallying 9% in premarket trade after beating Q3 expectations.\u00a0 Here\u2019s how the software company\u2019s results compared to analysts\u2019 estimates:\u00a0 Adjusted EPS: $2.11 vs $2.06 expected Revenue: $8.72 billion as expected Revenue rose 11% year over year. Salesforce expects revenue to increase 10% in Q4 to between $9.18 billion and $9.23 billion vs $9.21 billion analysts were expecting.\u00a0\u00a0 The company also said it now sees operating cash flow growth of 33% in 2024 vs 30% previously.\u00a0\u00a0 In Case You Missed It The Fed\u2019s Beige Book on Tuesday showed both the U.S. economy and inflation slowed in October and November. Six of the 12 regional Fed banks in the survey reported slight declines in economic activity. The report said, \u201cDemand for labor continued to ease, as most districts reported flat to modest increases in overall employment.\u201d Slowing economic growth and labor demand helped ease inflation. The Beige Book said price increases \u201clargely moderated\u201d across the country and \u201cmost districts expect moderate price increases to continue into next year.\u201d<\/p>\n","protected":false},"author":41,"featured_media":72457,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-72447","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\/72447","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=72447"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/72447\/revisions"}],"predecessor-version":[{"id":72459,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/72447\/revisions\/72459"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/72457"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=72447"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=72447"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=72447"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}