Wall Street stock markets trading is conducted with price declines on speculation that the Federal Reserve will raise interest rates in the next week.
The index pharmaceutical companies companies in the S&P 500 falling by 0.8% after the president Donald Trump pledged on Twitter on encourage a competition in the market.
U.S. Jobless Claims Lowest Since March 1973!
The number of Americans applying for unemployment benefits fell to the lowest level in 44 years last week, more evidence of a healthy labor market.
Initial jobless claims across the U.S. fell by 19,000 to a seasonally number of 223,000.
The US inflation climbed in January the his highest level since 2012 and is within reach of the goal of the Federal Reserve, which may increase the probability that the central bank will raise interest rates soon, maybe already this month.
The US consumer spending last month increased by 0.2%, while economists forecast an increase of 0.4%.
The personal income increased by 0.4% in January.
The Asian stock markets trading is conducted today with rising prices, after yesterday there was no trading on Wall Street due to the “Presidents Day”.
The European indexes yesterday closed unchanged, except for the German DAX index which rose by 0.6%.
Good economic news from French, as when the local economy grows fastest since 2011 as services strengthen.
A composite purchasing managers’ Index climbed to 56.2 from 54.1 in January.
In the UK, HSBC shares slide after 62% profit fall.
HSBC attributed the fall to a string of one-off charges, including the sale of its operations in Brazil.
HSBC said its performance had been “broadly satisfactory” given “volatile financial conditions” but warned a rise in global protectionism was a concern.
The bank also announced a smaller-than-expected share buyback.
That also helped undermine shares, which were down by 5% in London.
Among global investors there are feared that the statistical office of President Donald Trump economic data going to be modified.
Trump has not appointed yet anyone from the Council of Economic Advisers in the White House.
The fears of manipulation of the data also arise from the unusual approach of Trump administration’s interpretation of economic data.
The president himself is talking about “real” unemployment much higher than the official, and uses data which cover all citizens of working age who are not employed.
The Number of initial jobless claims stood at 239 thousand, below expectations of 245 thousand.
January building permits was pleasantly surprised with 1.285 million permits, versus expectations of 1.23 million certificates.
The Fed Manufacturing Index of Philadelphia jumped to 43.3 points, compared with an expected index of 18 points.
US retail sales in January grew by 0.4% due to increased sales of gas stations and restaurants.
Economists had forecast a moderate increase of 0.1% in January.
US inflation surged in January at its highest level in four years, mainly on the recovery of the oil prices.
The consumer price index (CPI) jumped by 0.6% in January from the previous month and twice as much as economists’ forecasts.
Wall Street stock exchanges, which broke records in the last three trading sessions, opened the trading day with declines towards speech Fed Chairman, Janet Yellen at the US Congress – her first appearance on Capitol Hill since the inauguration of US Donald Trump issue.
Lots of interest around the oil on reassessment background that OPEC is expected to increase the oil demand in 2017 by 1.3 million barrels per day, mainly due to demand from China.
It’s still not known if US demand will grow in light of Trump’s statements that he intends to re-build the US However, at this point, OPEC predict that China will be the main factor in demand for oil.
The trading on Wall Street stock exchanges open with a rise on the way to a new peak.
Later today, the US Senate is expected to confirm the appointment of Stephen Mnuchin to be the Minister of Finance of the USA.
The Dow Jones Industrial Average rising by 0.3%, the S&P 500 strengthened by 0.2%, the Nasdaq rising by 0.3%.