Monday Morning Meeting Notes (02/05/2024)

Weekly Economic Insights

Monday Morning Meeting Notes (02/05/2024)

Bradley Prosper, CFA®, CFP® Weekly Economic Insights

Monday Morning Meeting Notes (02/05/2024)

General Info:

  • First and foremost: shoutout to Punxsutawney Phil for the early spring prediction
  • U.S. employment report for January showed 353,000 new jobs added (vs. expectations of 180,000), and the unemployment rate remained steady at 3.7%
  • In addition, the two prior monthly readings were revised upwards by a combined 126,000 jobs
  • Average hourly earnings rose 0.6% month-over-month (vs. expectations of 0.3%) and 4.5% year-over-year
  • The Federal Reserve (Fed) maintained the fed funds rate at a target range of 5.25-5.50%
  • Fed Chairman Jerome Powell did not use the press conference to set the stage for a March rate cut, which many people believed would be the starting point for the Fed’s policy reversal
  • Given market expectations of a sooner-than-later rate cut (and the irrational, short-term mindset of many investors), U.S. stocks sold-off on Wednesday after the press conference
  • Fun Fact: Saltines and other crackers have holes in them in order to prevent air bubbles from ruining the product during the baking process

Monday 02/05:

  • Caterpillar, McDonald’s, Estee Lauder, ON Semiconductor, Tyson Foods, Simon Property Group, Simpson Manufacturing, and Skyline Champion report earnings
  • The Fed issues its senior loan officer survey, which provides insights into lending standards and demand
  • The OECD issues its interim economic outlook report for the global economy
  • S&P Global Services PMI data for the U.S., Eurozone, U.K., Japan, Hong Kong, India, and Australia

Tuesday 02/06:

  • UBS, Linde PLC, Eli Lilly, Ford, Fiserv, Gartner, Cummins, KKR, Xylem, Cerence, Chipotle, Amgen, Gilead Sciences, Carlisle, and Snap report earnings
  • Eurozone retail sales for December
  • Japan household spending for December
  • The Bank of England (BOE) releases its quarterly report on its asset purchase facility

Wednesday 02/07:

  • Disney, CVS Health Corp, McKesson, O’Reilly Automotive, PayPal, Uber, Yum! Brands, Wynn Resorts, U-Haul, Macerich, Adient PLC, and EnerSys report earnings
  • U.S. trade data for December
  • China foreign reserves for January
  • Germany industrial production for December
  • Chile copper exports for January

Thursday 02/08:

  • Harley-Davidson, Intercontinental Exchange, ConocoPhillips, Baxter International, Hershey, Axalta Coating Systems, TransDigm, Zimmer Biomet, Duke Energy, T. Rowe Price, S&P Global, Phillip Morris International, Verisign, and Pinterest report earnings
  • U.S. initial jobless claims and continuing claims data
  • Consumer price index (CPI) data for January is reported by several emerging market countries – China, Brazil, Mexico, Chile, and Russia
  • U.S. Treasury Secretary Janet Yellen speaks at a Senate Banking Committee hearing on the Financial Stability Oversight Council annual report
  • The European Central Bank (ECB) publishes its economic bulletin

Friday 02/09:

  • PepsiCo reports earnings
  • Lunar New Year’s Eve celebrations begin, ushering in the Year of the Dragon
  • National Pizza Day – approximately 17% of all restaurants in the U.S. are pizzerias
  • China aggregate financing, money supply, and new yuan loans for January
  • Germany CPI data for January

About the Author

Bradley Prosper, CFA®, CFP®

Senior Research Analyst
Mr. Prosper is a member of the Firm’s investment research group where he assists in conducting investment research that is instrumental in the construction, maintenance, and management of client portfolios. This research includes the procurement of primary data via direct investment manager interviews as well as analyzing information from our data resources.