Tuesday's Markets Update (October 29, 2024)

30 Oct 2024 by rate3

On Tuesday, stocks closed mixed as job openings fell and home prices increase slowed, with technology leading gains ahead of earnings and more economic data. The Nasdaq approached an ATH, while the Dow fell. Alphabet rose ahead of its earnings report, while McDonald's and Ford declined due to weaker results. Investors are watching for clues about the Fed's rate decision from upcoming economic data and tech earnings. German consumer confidence improved, and Brazil's digital asset imports surged by 40%. BTC and ETH are on the rise, with BTC leading the charge with a 4% gain, almost reaching its ATH. ETH is slowly following with an increase to $2.7K.

Details

Job openings fell to a 28-month low of 7.443M in September. The decline was widespread across sectors and regions. While hires and separations remained stable, the cooling job market suggests a potential slowdown in economic activity. 1Y trend: "Down" (BLS)
Texas' service sector improved in October, with a positive reading in the Dallas Fed's general business activity index. Revenues and hours worked increased, signaling a rebound in demand. However, input costs, including wages and benefits, continued to rise. Firms expect future growth but also increased uncertainty. 1Y trend: "Up" (Fdal)
Retail inventories grew modestly in September, while wholesale inventories declined. Retail inventories excluding autos increased 0.1% MoM and 0.6% YoY. Wholesale inventories fell 0.1% MoM, with durable goods declining and non-durable goods increasing. 1Y trend: "Up" (both retail and wholesale) (Census)
Home prices increased 5.2% YoY in August, the slowest pace in 10 months. While some cities like New York and Las Vegas saw strong growth, others like Denver and Portland experienced slower growth. Rising mortgage rates and seasonal factors contributed to the slowdown. 1Y trend: "Up" (source)
The trade deficit widened significantly in September to $108.2B, the highest level since March 2022. This was due to a surge in imports, particularly consumer, capital, and industrial goods, while exports declined. 1Y trend: "Down, Deficit Increasing" Census

Crypto

Brazil's digital asset imports surged 40% in September 2024, reaching $1.4B. Exports remained stable at $44 million. This resulted in a net inflow of $1.385B. Cryptocurrencies and stablecoins accounted for 70% of all trades. Year-to-date, Brazil's crypto imports totaled $13.7 billion, a 60% increase compared to the same period in 2023. (source)

World Markets

German consumer confidence improved for the second consecutive month in November, reaching its highest level since April 2022. Income expectations and the propensity to buy increased, while economic outlook remained pessimistic. However, uncertainties related to crises, wars, and high prices continue to dampen consumer sentiment. 1Y trend: "Up" (GFK)