Dow Jones drops 100 points ahead of US inflation data release tomorrow
As of 21:38 Thai time, the Dow Jones Industrial Average added 121.86 points or 0.36% to 33,825.96 points.
The stock market gained positive factors from the depreciation of the dollar. And the drop in US Treasury yields today.
The depreciation of the dollar will increase the profits of listed companies that earn from abroad. In regards to the decline in the yield on the 10-year US Treasury, which is the US treasury used as a benchmark to price bonds around the world. This includes the US mortgage interest rate. it will give consumers more money to spend AND help reduce the cost of repaying various companies’ debt. allowing these companies to increase investment and increase dividend payments to investors
Investors keep an eye on the consumer price index (CPI), which measures inflation driven by consumer spending. Month of December tomorrow The CPI should indicate a slowdown in US inflation.
The analyst survey expects the headline CPI, which includes food and energy, to rise 6.6% in December from a year earlier. down from 7.1% in November
On a monthly basis, the main CPI is expected to remain unchanged in December. or +0.0% from 0.1% in November
As for the core CPI, that excludes the food and energy sectors. It is expected to rise 5.7% in December year-over-year. down from 6.0% in November.
On a month-on-month basis, core CPI is expected to rise 0.3% in December from 0.2% in November.
Investors will also be following Friday’s earnings releases for major US banks including JPMorgan, Citigroup, Bank of America and Wells Fargo.
