Summary Of the Markets Today:
- The Dow closed down 199 points or 0.57%,
- Nasdaq closed down 1.06%,
- S&P 500 closed down 0.70%,
- Gold $1,942 down $10.90,
- WTI crude oil settled at $88 up $0.95,
- 10-year U.S. Treasury 4.298% up 0.030 points,
- USD Index $104.84 up $0.040,
- Bitcoin $25,656 down $29,
*Stock data, cryptocurrency, and commodity prices at the market closing.
Today’s Economic Releases Compiled by Steven Hansen, Publisher:
The July 2023 increase in the U.S. International Trade in Goods and Services Deficit increased 2.0% to $65 billion. Inflation-adjusted imports were down 0.3% year-over-year with exports growing 4.4% year-over-year. Declines in imports normally signal a weak to recessionary U.S. economy.
In August, the ISM Services PMI registered 54.5 percent, 1.8 percentage points higher than July’s reading of 52.7 percent. The Business Activity sub-index registered 57.3 percent, a 0.2-percentage point increase compared to the reading of 57.1 percent in July. The New Orders sub-index expanded in August for the eighth consecutive month after contracting in December for the first time since May 2020; the figure of 57.5 percent is 2.5 percentage points higher than the July reading of 55 percent. These numbers are normally indicative of an economy transitioning from weak to normal growth.
According to the 06 September 2023 Beige Book:
Contacts from most Districts indicated economic growth was modest during July and August. Consumer spending on tourism was stronger than expected, surging during what most contacts considered the last stage of pent-up demand for leisure travel from the pandemic era. But other retail spending continued to slow, especially on non-essential items. Some Districts highlighted reports suggesting consumers may have exhausted their savings and are relying more on borrowing to support spending. New auto sales did expand in many Districts, but contacts noted this had more to do with better availability of inventory rather than increased consumer demand. Manufacturing contacts in several Districts also noted that supply chain delays improved, and that they were better able to meet existing orders. New orders were stable or declined in most Districts, and backlogs shortened as demand for manufactured goods waned. One sector where supply did not become more available was single-family housing. Nearly all Districts reported the inventory of homes for sale remained constrained. Accordingly, new construction activity picked up for single-family housing. But multiple Districts noted that construction of affordable housing units was increasingly challenged by higher financing costs and rising insurance premiums. Bankers from different Districts had mixed experiences with growth in loan demand. Most indicated that consumer loan balances rose, and some Districts reported higher delinquencies on consumer credit lines. Agriculture conditions were somewhat mixed, but reports of drought and higher input costs were widespread. Energy activity was mostly unchanged during the final months of the summer.
Here is a summary of headlines we are reading today:
- Soaring Fuel Costs Trigger Airline Warnings
- Cybersecurity In Focus Ahead Of Berlin NATO Conference
- New Report Reveals Costly Shift In Green Energy Landscape
- G7 Price Cap Limits Russian Oil Revenue, But Moscow Has No Shortage Of Buyers
- Data Centers Are Poaching Texas Oil Workers
- Dow tumbles nearly 200 points, Nasdaq falls a third straight day as Fed rate hike fears return: Live updates
- Ukraine drone supplier AeroVironment soars more than 20%, heads for best day in more than 2 years
- Nasdaq just posted its worst month since December. How the smart money played it
- Apple buying Disney would be a storybook ending for Iger, but fairy tales aren’t real
- Ryanair boss calls air traffic chaos report rubbish
- Bond Report: 2-year Treasury yield ends at one-week high after ISM services-sector report
- In One Chart: A recession could be nine months away, according to this telltale gauge
Click on the “Read More” below to access these, other headlines, and the associated news summaries moving the markets today.
