Last week was extremely busy in terms of economic data. ISM and PMIs data all pointed towards slowing in the manufacturing sector. The week was capped off with the most watched release of the week: the Nonfarm Payrolls Report. Payrolls increased by 50,000 more than expected alongside rising wages in October. Other employment data from ADP, Jobless Claims, and ECI echoed the positive NFP results. This continuously strong labor data is not a great sign for the market seeing as the Fed will now be more likely to maintain their hawkish tone.
Coming up this week is a far quieter slate with only 19 releases versus last week’s 39. This morning, Markit Services PMI and ISM’s Non-Manufacturing Index were released. Tuesday, we will get further labor market data with the release of JOLTS. Following that, all eyes will be on the Fed. As we previously mentioned, all of the recent employment data is set to have a big impact on Fed policy. On Thursday, the FOMC will hold their seventh rate decision meeting of the year. While no change is expected for this decision, investors will still be fixated on the Fed’s tone. Finally, on Friday the week will finish off with producer inflation data.
You can always check our Economic Monitor to keep up with the day’s releases.