Source: t.co/Li5oPa4Kxf
— Wall Street Silver (@WallStreetSilv) January 6, 2023
The most well-announced recession in history keeps getting postponed 🙂
— AndreasStenoLarsen (@AndreasSteno) January 6, 2023
FED'S BOSTIC: THIS YEAR, I EXPECT INTEREST RATES TO RISE TO BETWEEN 5.00% AND 5.25%.
— Breaking Market News ⚡️ (@financialjuice) January 6, 2023
🔵 U.S. FACTORY ORDERS TUMBLE IN NOVEMBER ON AIRCRAFT
– Full story via Reuters at t.co/CD4RFz4W8M
— PiQ (@PriapusIQ) January 6, 2023
Everything has pointed to us being in a recession and then the unemployment rate falls to 3.5%.
At the December Fed meeting, they emphasized the need for higher unemployment to tame inflation.
The Fed is not getting the recession they wanted.
Now they must turn more hawkish.
— The Kobeissi Letter (@KobeissiLetter) January 6, 2023
Apparently these are on "sale" … could have fooled me at that price. 🧐#inflation pic.twitter.com/kk9O71HkOO
— Wall Street Silver (@WallStreetSilv) January 6, 2023
Put and calls all deep in red.. everyone got fucked today with this move.. happy new year
— 🅰🅻🅴🆂🆂🅸🅾 (@AlessioUrban) January 6, 2023
Fed’s Balance Sheet Drops by $458 Billion from Peak: January Update on QT and the Fed’s Losses
The Fed’s cumulative losses reached $20.5 billion.
ISM Services Slumps Into Contraction, Factory Orders Plunge Most Since COVID
After a surprise bounce in November (and following S&P Global’s Services PMI weakness), analysts expected ISM Services survey to show deterioration in December and they were right but the magnitude was very significant. ISM Services tumbled into contraction at 49.6 (vs 55.0 exp) from 56.5 in November. That is the biggest drop since 2020 and the first contraction since May 2020…
December Payrolls Beat Expectations But Wage Growth Disappoints, Lowest Since August 2021
There was a general sense of foreboding ahead of today’s jobs report, because as we wrote in our payrolls preview, several strategists noted that there was virtually no number that would be good for risk assets. As Goldman trader John Flood said, “whispers into December’s jobs print are creeping higher as we have already gotten 4 strong labor data points this week… We are still in a good data is bad for stocks set up but the new spin is that really bad data is also bad for stocks. AKA risk is skewed to the downside.”
Beer Sales Drop as Consumers Balk at Higher Prices: WSJ
Corona brewer Constellation Brands Inc. now says it plans to make “more muted” price increases in the coming fiscal year, because higher-than-usual price increases in October slowed its sales growth. “The consumer is overly sensitive to pricing actions,” Constellation Chief Executive Bill Newlands told analysts Thursday when the company lowered its earnings…