Monday's Markets Update (November 13, 2023)
On Monday, the Nasdaq relented as traders took a pause after Friday's price surge, awaiting key economic data releases, including the CPI report. Investors also responded to Moody's negative downgrade of the U.S. credit outlook. Tech stocks like Apple, Microsoft, and Amazon saw declines, while Nvidia and Tesla rose. Meanwhile, BTC continued its sideway drift in the 36K-37K range as ETH climbed above 2.1K.
In November, the RealClearMarkets/TIPP Economic Optimism Index increased to a seven-month high of 44.5 from 36.3. However, it has been negative for 26 straight months. The Six-Month Economic Outlook improved to 39.1 from 28.7, its lowest since 2001. The Personal Financial Outlook rose to 53 from 46.8, returning to positive. Confidence in Federal Economic Policies also increased to 41.5 from 33.5, its lowest since October 2013.
In October, consumer inflation expectations for the next year dropped slightly to 3.6% from 3.7%. Rent and food inflation expectations stayed at 9.1% and 5.6% respectively. Expectations for price growth in gas, college education, and medical care increased. However, median inflation expectations for a five-year period decreased to 2.7% from 2.8%, while those for a three-year horizon remained steady at 3.0%.