• Sun. May 26th, 2024

Economic Data Weak, but Market Shifts Focus to Growth

BySamantha Jones

May 16, 2024
US economic data leads to slight increase in Treasury yields; USD/JPY reacts accordingly

Today’s economic data was mostly weak, with initial jobless claims slightly higher than expected but still at historically low levels. Despite this, the market has shifted its focus from inflation to growth, with the tipping point likely being yesterday’s CPI numbers that were softer and retail sales that declined. Housing starts and the Philly Fed both missed estimates, while import/export prices came in higher than anticipated.

Despite these challenges, the Fed rate cut pricing moved down slightly and Treasury yields rose, with US 2-year yields up 3.0 basis points on the day. The US dollar/Japanese yen pair has closely followed these movements, rising 31 pips to a session high at 155.21. It seems challenging to directly attribute these market movements to the economic data, as it could be more about position squaring and the market taking a breather. S&P 500 futures are currently trading flat, indicating a level of uncertainty in the market.

By Samantha Jones

As a content writer at newsnnk.com, I weave words into captivating stories that inform and engage our readers. With a passion for storytelling and an eye for detail, I strive to deliver high-quality and engaging content that resonates with our audience. From breaking news to thought-provoking features, I am dedicated to providing informative and compelling articles that keep our readers informed and entertained. Join me on this journey as we explore the world through the power of words.

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