This morning's economic data showed that last week, unemployment claims dropped and the number was lower than expected. This is perhaps adding to the narrative that taming inflation is going to take a while. Yesterday, FOMC meeting concluded and Feds held the rates steady. It looks like current projection is if one more .25% rate hike this year and 0.50% rate hike next year. Federal Reserve Chairman commented that economic activity looked solid, jobs market remains tight and consumer spending looked robust. He did reiterate that full effects of tight fiscal policy are not seen yet. Feds are going to continue their data-driven decision-making and try to balance between taming inflation (and bring it to its target 2% level) without toppling the economy. So, it looks like Feds have set realistic expectation based on current data. Treasury yields are still high and all three major US indices are in the red this morning (PST). In other corporate news, CSCO is acquiring Splunk and this is perhaps putting pressure on CSCO's stock price. There was also unconfirmed report about GOOGL reconsidering some of its AI chip suppliers for second half of this decade that might have put pressure on AVGO stock price (results remain to be seen).
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