Today’s Outlook:
• The Dow closed higher on Thursday (21/12/23), on the back of investors buying stocks after selling pressure the day before, with the Nasdaq leading the gains by 1.3%.
• On the US economic front, the final revision of economic growth, or Gross Domestic Product (GDP), for the third quarter fell to 4.9% from the previous estimate of 5.2%, while initial Jobless Claims only rose by 2,000 to 205,000 in the week ended December 16, missing expectations of 214,000.
• The Philadelphia Fed said Thursday its manufacturing index rose to a reading of -10.5 from -5.9 in August as the contraction in manufacturing activity continued.
• The core Personal Consumption Expenditures price index, the Fed’s favorite measure of inflation, on Friday, which could show whether inflation has slowed enough for the Fed to begin easing policy next year.
• Oil prices fell Thursday after Angola decided to exit the Organization of the Petroleum Exporting Countries (OPEC), pointing to a further weakening in the “OPEC put,” stoking worries about the oil producer cartel’s ability to collectively support oil prices by limiting production.
• Bank Indonesia left its benchmark interest rate unchanged at 6% for a second straight meeting to keep inflation under control in the face of surging food costs, even as policymakers signaled they were in no hurry to begin easing policy.*
• Economists surveyed by Reuters anticipate a 5.2% year-on-year growth in the U.S. economy for the third quarter with Personal Consumption Expenditures price index is expected to increase by 2.3% during the same period, marking its slowest ascent since the fourth quarter of 2020.
• The pullback in JCI was anticipated in recent days. However, NHKSI RESEARCH considers this consolidation to be a natural occurrence as JCI has entered the Overbought Category along with other regional exchanges that are enjoying bullish momentum. Investors are advised to use this opportunity to buy on weakness in the Support area of their respective stocks.
Company News
• PTPP: Will Sell Assets and Subsidiaries
• UNTR: Increase Shares in Geothermal Company
• GEMS: Capital Injection and Increase Shares in Subsidiaries
Domestic & Global News
• India Reopens Rice-Sugar Export Taps, Bulog Boss Says This
• Why Rice Prices Hit Highest Level since October 2008
Download full report HERE.
