Economic News
- Labor Market Data:
- Private sector employment in December rose by 122,000 jobs, falling short of Bloomberg’s expectation of a 139,000 gain, according to ADP.
- Weekly jobless claims unexpectedly decreased, while continuing claims edged higher.
- Friday’s Bureau of Labor Statistics data is anticipated to show the U.S. economy added 163,000 nonfarm jobs in December, down from 227,000 in November.
- Treasury Yields:
- The two-year U.S. Treasury yield declined by 2.1 basis points to 4.27%.
- The 10-year yield dipped by 1 basis point, closing at 4.68%.
- Federal Reserve Minutes:
Minutes from the Federal Reserve’s December meeting revealed that most Federal Open Market Committee (FOMC) members saw increased risks to inflation due to strong price growth and potential policy changes.- The FOMC cut its benchmark lending rate by 25 basis points during the meeting and indicated fewer rate cuts in the future than initially forecasted in September.
- Fed Governor Christopher Waller expressed confidence in inflation returning to the 2% target over the medium term, while acknowledging stalled progress in late 2024.