The S&P 500 Index is up 0.10% as of today, reaching a new all-time high, while the Dow Jones Industrial Average has declined by 0.36%. The Nasdaq 100 is up 0.34%, with March E-mini S&P futures also registering a 0.10% increase and Nasdaq futures up 0.38%. Mixed economic news from the U.S. has influenced bond yields, which have dropped, with the 10-year Treasury note yield at 4.15%.
Key labor market reports indicated that December ADP employment increased by just 41,000 jobs, falling short of the 50,000 expected. Job openings in November, as per the JOLTS report, decreased by 303,000 to 7.146 million, under the forecast of 7.648 million. Following the economic data, mortgage applications slightly rose by 0.3%, although the average 30-year fixed mortgage rate fell to 6.25% from 6.32%.
Looking ahead, unemployment claims are projected to rise by 12,000 to 211,000 this week, with expectations for December nonfarm payrolls to increase by 59,000. The overall market sentiment indicates a 14% chance of a 25 basis point rate cut at the Federal Open Market Committee’s upcoming meeting set for January 27-28.
