big picture today
Asia-Pacific stock markets ended lower, with India’s SENSEX gaining 0.50% and South Korea’s KOSPI closing flat down just 0.02%. China’s Shanghai Composite fell 0.18%, while Australia’s ASX All Ordinaries and Taiwan’s TAIEX both fell about 0.25%. Japan’s Nikkei ended 1.16% lower as weaker-than-expected GDP growth, uncertainty over Fed policy decisions and China’s iPhone ban (more on that below) weighed on stocks.Officials of the Hong Kong Exchange Trading halts after today Hong Kong Observatory A ‘black rainstorm signal’ warning was issued throughout the night, and storms caused massive flooding across the city.
European markets are mostly down in intraday trading, with US stock futures suggesting they will start lower when these markets open later this morning.
The market is once again weighed down by hawkish comments from Federal Reserve officials that more work may be needed in the fight against inflation. The central bank will continue to assess future economic data, but Dallas Fed President Rory Logan said, “While inflation has been encouraging in recent months, falling inflation is not necessarily falling enough.” New York Fed’s John Williams echoed that view, saying monetary policy was in a good place but more data needed to be analyzed to decide how to proceed with rates.
A concern shared by Mr. Logan is that if economic activity continues to be strong, it could lead to a resurgence of inflation. The stronger-than-expected August ISM non-manufacturing index released this week did just that, but with credit conditions even tighter, the Fed needs another one or two before taking its next policy move. It seems that you want to scrutinize the above data. One of those data is the August Consumer Price Index (CPI) and the August core CPI trend that it reveals. Deputy Supervisor Michael Burr and San Francisco Fed President Mary Daly are scheduled to visit today before the data is available, and today’s trade is likely to reflect their comments.
data download
international economy
The Japanese economy grew at an annualized rate of 4.8% in the second quarter of 2023. In comparison, provisional data expanded by 6.0%, and the first quarter of 2023 was revised downward by 3.2%.
Germany’s consumer price inflation rate was confirmed at 6.1% year-on-year in August, down slightly from the previous month’s 6.2% and matching the 14-month low recorded in May. The core rate, which excludes volatile items such as food and energy, remained unchanged at 5.5% in August.
At 9:30 p.m. ET tonight, China will release its inflation data for August, which is expected to be 0.3% month-on-month, up from 0.2% the previous month. The country is also due to release its PPI figures for August, with the market expecting a PPI of -3% in July, compared to -4.4% in July.
domestic economy
At 3pm ET, the July Consumer Credit Report will be released later in the trading day. The combination of lower savings rates and upcoming student loan repayments will cause people to scrutinize this aspect of the consumer balance sheet and question its impact on disposable income and spending prospects.
wall street journal report Health insurance costs are rising at the steepest pace in years, with some predicting the biggest increase in more than a decade in 2024 to hit businesses and their employees.
The Las Vegas Strip workers’ union has set a date for a citywide strike vote later this month that, if approved, could lay off more than 50,000 housekeepers, bartenders and other staff. be.
market
If reversal is fair play, Chinese authorities are increasingly restricting its use. Apple (AAPL) iPhone products by civil servants. This comes in response to Huawei’s telecom hardware being banned for about four years, and coincides with Huawei’s recent launch of what many consider a suitable replacement for 5G smartphones. I am doing it. Apple shares fell 2.19% yesterday and are down 6.40% so far since Tuesday. Unsurprisingly, technology was hit the hardest, and he fell 1.45%, driven by this pressure and supported by a synchronized decline in other stocks.
The rest of the sectors were mixed, with results within plus or minus 0.50%, with the exception of real estate (0.82%) and utilities (1.31%). Broad index results reflected yesterday’s pre-market futures, with the Dow the lone gainer up 0.17%, while the S&P 500 fell 0.32%, the Nasdaq Composite fell 0.89% and the Russell 2000 closed 0.99% lower. In personal name American Tower Corporation (AMT) The company’s CFO speaks at the Goldman Sachs Communopia & Technology conference, arguing the company is poised not only to capitalize on current infrastructure spending, but also on future growth in the telecommunications sector Shares rose 2.55% after reiterating
Year-to-date trends in key market indicators are as follows:
- Dow Jones Industrial Average: 4.08%
- S&P500: 15.93%
- Nasdaq Composite: 31.36%
- Russell 2000: 5.37%
- Bitcoin (BTC-USD): 57.74%
- Ether (ETH-USD): 37.25%
Featured stock
Before today’s US stock market trading opens, Kroger (KR) We will report quarterly performance.
Taiwan Semiconductor (TSM), Companies that supply chips Apple, AMD (AMD), Nvidia (NVDA), others, reported that sales in August increased by 6.2% month-on-month to about NT$188.69 billion.
ChipMOS Technology (IMOS) ‘s sales in August increased 6.9% year-on-year to NT$1.83 billion.
Earnings and EPS reported for the July quarter DocuSign (DOCU) Invoices for the quarter were $711.2 million, up 10% year-over-year and above consensus expectations, versus management’s guidance of $646-656 million. In addition to announcing upside guidance for the quarter and raising its full-year outlook, the company’s board of directors approved a $300 million increase to its existing share repurchase program to $500 million.
Guidewire Software (GWRE) EPS for the July quarter reported double the consensus estimate, but the company posted a profit of $197 million in the quarter, compared with the consensus $212.49 million and $270 million recorded in the July quarter. It is overshadowed by continued declines in sales, which we forecast to be ~$202 million.
From July quarter EPS relative humidity (relative humidity) It fell short of consensus expectations and sales also beat expectations despite a 19.3% year-on-year decline. The good news is that the company’s downside earnings guidance for the quarter is between $740 million and $760 million, compared to consensus of $785.9 million and $804.8 million recorded in the July quarter. killed by something. RH continues to expect the luxury housing market and the economy in general to remain challenging through 2024 and into next year as mortgage rates continue to hover at 20-year highs.
Goldman Sachs (GS) plans to cut further employees deemed underperforming. These cuts are expected to start in late October.
IPO
Readers interested in learning more about the upcoming IPO calendar should visit Nasdaq’s Latest and Upcoming IPOs page.
After today’s market close
No company is expected to announce quarterly results after the stock trading suspension. For more information on upcoming quarterly earnings reports, visit the Nasdaq earnings calendar.
on the horizon
Monday, September 11th
- US: Consumer Inflation Expectations – August
Tuesday, September 12th
- China: Auto Sales, New RMB Financing, Lending Growth – August
- Japan: Machine Tool Orders – August
- Eurozone: ZEW Business Confidence Index – September
- United States: NFIB Small Business Optimism Index – August
- United States: USDA WASDE Report – August
Wednesday, September 13th
- Japan: Producer Price Index – August
- UK: GDP, industrial and manufacturing production – July
- Eurozone: Industrial Production – July
- USA: Weekly MBA Mortgage Applications
- United States: Consumer Price Index – August
- United States: Weekly EIA Crude Stocks
- United States: Treasury Budget – August
Thursday, September 14th
- United States: Weekly Initial and Continuing Unemployment Claims
- United States: Producer Price Index – August
- United States: Retail Sales – August
- United States: Corporate Inventory – July
- United States: Weekly EIA Natural Gas Inventories
Friday, September 15th
- China: Industrial Production, Unemployment, Retail Sales – August
- Eurozone: Labor Cost Index, Wage Growth – Q2 2023
- United States: Import and Export Prices – August
- United States: Empire Manufacturing Index – September
- United States: Industrial Production and Capacity Factors – August
- United States: University of Michigan Consumer Confidence Index (Preliminary) – September
thoughts of the day
“Autumn is the antidote to a stifling summer.” – Terry Guilmetz
Disclosure
The views and opinions expressed herein are those of the authors and do not necessarily reflect those of Nasdaq, Inc.