Welcome to Extreme Investor Network, your go-to source for all things related to the Stock Market, trading, and Wall Street. Today, we dive into the recent US Continuing Jobless Claims report and its implications on the market.
The latest US services sector data has shed light on the effects of Fed monetary policy on the US economy. As cracks begin to show, could the US economy be headed towards a hard landing?
One key indicator to look out for is the US IMS Services PMI, which recently sank below 50 in June, indicating a contraction in the service sector. With the service sector accounting for over 70% of the US economy, this contraction could influence the Fed’s rate path. The drop below 50 also raises concerns about a potential hard landing for the US economy.
Despite these concerning indicators, investor demand for riskier assets remains high, fueled by expectations of a September Fed rate cut. The recent market movements on Wednesday saw gains in the Nasdaq Composite Index and the S&P 500, while the Dow experienced a slight decline.
Auto, bank, and tech stocks saw a reversal in their losses from the previous session, driven by election-related news from France and economic indicators supporting rate cuts by the ECB and Fed. Stocks like Sartorius AG, Siemens Energy AG, and Infineon Technologies saw significant gains, while Deutsche Bank and Commerzbank also ended the session on a positive note.
Looking ahead, German factory orders will be in the spotlight on Thursday, with investor attention focused on the ECB Monetary Policy Meeting Minutes and comments. ECB Chief Economist Philip Lane’s views on inflation for the Eurozone could also impact market sentiment.
As we navigate these market conditions, it’s essential to stay informed with real-time economic data, news updates, and expert commentary to make informed trading decisions. Keep an eye on technical indicators for the DAX, such as the daily chart and key support levels, to guide your trading strategies effectively.
At Extreme Investor Network, we provide the latest updates and insights to help you navigate the equity markets with confidence. Stay tuned for more valuable information to optimize your trading experience.