All articles tagged with #gdp revision
Weekly US jobless claims unexpectedly declined while Q2 GDP was revised upwards to 3.8%, indicating economic resilience. The Federal Reserve is weighing further rate cuts amid mixed signals on employment and inflation, with debates ongoing about the pace of future easing. Stock markets reacted negatively to the data, and investors are now focusing on upcoming inflation reports.
US stocks, including the S&P 500, Nasdaq Composite, and Dow, rose slightly following a soft ADP payrolls gain and a downward revision of Q2 economic growth. The tech-heavy Nasdaq Composite was up 0.7%, while the S&P 500 and Dow were up 0.5% and 0.4% respectively. The ADP report showed private payrolls up 175K, lower than expected, but had little impact on rates. The market rally on Tuesday was driven by weak economic data, including a slump in job openings and a drop in consumer confidence, which reduced expectations of further rate hikes by the Federal Reserve. Revised Q2 GDP numbers were also lower than expected.
The major market averages traded mixed on Thursday as investors focused on the path of interest rates. The Nasdaq Composite fell slightly, while the S&P 500 gained and the Dow moved higher. Yields rose after the revised Q1 GDP data, with the 10-year Treasury yield increasing by 14 basis points. Fed chief Jay Powell's comments increased the chances of further tightening from the Fed, leading to higher expectations of a July rate hike. Jobless claims came in lower than expected, while the final measure of Q1 GDP exceeded forecasts. Micron stock was lower after reporting a smaller-than-expected loss.