Key Events 👉 The FTC bans noncompetes The Federal Trade Commission (FTC), which is responsible for fostering fair competition, bans the use of non-compete employee contracts in the US, arguing that that theyRestrict the freedom of workersSuppress wagesSlow down new business formation. Non-compete clauses are contractual clauses that prohibit employees from engaging in certain competitive activities such as working for
Last 3 weeks we saw a bifurcation in this market. Tech, not too hot. Non-tech doing great. Tech bounced today. Key Events 👉 TikTok preps for legal battle against US The House passes divest-or-ban bill 360 to 58. This could be the first full blown social media ban by the US government. The Senate will vote on the bill this
Key Events 👉 Microsoft invests $1.5B minority stake in G42 Microsoft’s investment is seen as a move to strengthen US interests in the global AI sector, potentially countering China’s growing influence. G42 is an Emirati AI company that provides digital infrastructure and cloud computing services. Previously, the company used Chinese hardware to operate their systems. Following the deal, G42 will
Key Events 👉 Hawkish repricing of Fed pivot CPI inflation data has been ahead of consensus for the past 3 releases. CPI numbers come out on a monthly basis. Inflation is an important indicator the Fed is patiently watching. It is coming down slower than expected. So, the market is expecting the Fed to be more hawkish (keep rates at
Key Events 👉 Headline and core CPI both increased 0.4% month over month in March. This is hotter than expectations for a 0.3% increase. Core services were driving the hotter number – transportation and medical care services. What does this mean? Inflation is ahead of expectations. Means the fed needs to stay patient. Fewer rate hikes, pushed to later in
Key Events 👉 March Non-farm Payroll (NFP) ahead of expectations +300k jobs added and unemployment rate falling. Labor market is strong, and we see Fed is comfortable remaining patient before pulling back rates. They need more confidence that inflation will ease. 2 rate cuts are now priced for 2024, down from 3 cuts. 👉 Blackstone is in talks to buyout Jersey Mike’s
Markets Key Events U.S. equities finished down Thursday. 👉 Initial jobless claims at 221K – above consensus of 213K. Feds are looking for inflation to come down and employment to fall to cut rates by year end. Watching for nonfarm payrolls, released tomorrow. 👉 Ford to delay production of its electric SUV and pickup. 3-row SUV pushed back from 2025 to
Markets Key Events U.S. stocks traded up on Wednesday. 👉 March ISM Services at 51.4%, a 1.2% decrease compared to the February below consensus of 52.7% A reading above 50 percent indicates the services sector economy is generally expanding; below 50 percent indicates it is generally contracting. The Prices Index at lowest level since March 2020, but while some prices are
Markets Key Events 👉 February JOLTS job openings down month over month but in line with consensus. Strong job market with inflation reduction is ideal. Market is awaiting Non-farm Payroll (NFP) this Friday on March employment numbers. Consensus +200k increase. Still more data is needed to convince fed officials of the timing of the rate drop. Continued debate on June rate-cut prospects.
