Thursday's Markets Update (December 14, 2023)

15 Dec 2023 by rate3

On Thursday, major stocks indexes rose, with Nasdaq hovering above the flatline at 2-years highs. Apple increased to ATH of 198.26. Despite the unexpected rise in retail sales and a decline in weekly jobless claims, expectations of a rate cut in March 2024 remain high. BTC and ETH rose, still staying within a double top formation on daily graphs.

Details

Retail sales rose unexpectedly by 0.3% in November 2023, outperforming market predictions of a 0.1% fall. This suggests a promising start to the holiday season, with significant increases in various sectors, including, food services and drinking places (1.6%), nonstore retailers (1%), health and personal care (0.9%) and furniture stores (0.9%). However, sales dipped at gas stations and some retail stores.

Unemployment claims dropped to 202K, the lowest in two months and below the expected 220K, with notable declines in New York (-6,581) and Pennsylvania (-4,362). This reflects a tighter labor market, providing the Fed more interest rate flexibility. Continuing claims increased slightly but stayed below expectations.

The dollar index (DXY) dipped to a post-August low as the Fed held rates steady.