1. Spotlight on the PCE Index: The Fed’s Inflation Gauge
The U.S. is set to release the Personal Consumption Expenditures (PCE) Price Index later today—an essential indicator for assessing underlying inflation. As the Federal Reserve’s preferred inflation measure, this report will significantly influence the central bank’s upcoming decisions.
With the Fed’s next meeting scheduled for December 17-18, this will be the last PCE data point before policymakers convene. Economists expect an annual rise of 2.3% for October, up from 2.1% in September, reflecting persistent inflationary pressures. Despite this, minutes from the Fed’s November meeting indicate a cautious approach to future rate cuts, with the possibility of a 25-basis point adjustment still uncertain. Investors will be watching closely, especially given upcoming November consumer and producer price reports.
2. U.S. Futures Dip Ahead of Inflation Data
U.S. stock futures edged lower early Wednesday, as caution sets in ahead of the PCE release. By 04:00 ET, Dow futures were down 25 points (0.1%), S&P 500 futures fell by 8 points (0.1%), and Nasdaq 100 futures dropped 45 points (0.2%).
This follows a strong Tuesday, where both the S&P 500 and Dow Jones Industrial Average hit new intraday and closing highs. Market activity is expected to be light due to the Thanksgiving holiday and an early close on Friday. Dell Technologies (NYSE: DELL) also made headlines, trading sharply lower pre-market after issuing disappointing guidance.
3. Tariff Concerns and S&P 500 Earnings Impact
Donald Trump’s tariff threats are already stirring global markets, though he’s yet to begin a potential second term. Proposals to increase duties on imports from China, Canada, and Mexico—aimed at addressing illegal immigration and drug issues—pose risks for corporate earnings. According to Citi analysts, these tariffs could cut 2025 S&P 500 earnings estimates by a few percentage points and shrink gross margins by over 250 basis points. The market has yet to fully price in this uncertainty, shifting investor focus from election-related to policy-related concerns.
4. Apple’s Challenges in China
Apple (NASDAQ: AAPL) CEO Tim Cook recently attended the China International Supply Chain Expo in Beijing, emphasizing the importance of the Chinese market. However, Apple faces headwinds, including declining iPhone sales amid fierce competition from domestic brands like Huawei. Foreign-branded smartphone sales in China fell 44.25% year-over-year in October.
Analysts at Citi suggest Apple’s upcoming iOS 18.2 release in December could play a crucial role in driving future iPhone replacements. The next few quarters will be pivotal for Apple’s performance in this key market.
5. Oil Prices Rise Despite Middle East Ceasefire
Crude oil prices climbed Wednesday, with WTI futures up 0.5% to $69.08 per barrel and Brent slightly down at $72.54. The market is assessing the potential impact of a ceasefire deal between Israel and Hezbollah, which could ease supply disruption concerns in the Middle East.
Additionally, U.S. oil inventories reportedly dropped by nearly 6 million barrels last week, signaling strong domestic demand. Traders are also eyeing next week’s OPEC+ meeting for insights into future production plans.
🎯OP Alerts 2024 update –
So far, for 2024, we are 40 Wins / 6 loses for cumulative gains of 1359%
See the alert play tab on the website and app to see all the previous entries/exits
See you in chat with today’s upgrades/downgrades & chat plays.
Stay Updated:
As we approach the holiday season and key economic events, OptionsPlayers members are encouraged to stay informed through our market analysis and live sessions. Keep stacking those gains!
🔥 OP Black Friday Deals with a Twist! ‼️
Whether you’re a beginner learning the ropes or a seasoned pro seeking advanced systems, this Black Friday at OptionsPlayers has something for everyone-and we’re turning up the excitement!
🚀Exclusive LIFERS Package Deal (Only 10 Spots!):
* First 10 to email Steve@optionsplayers.com
expressing interest in our top-tier OP Lifers package will receive:
- $1,000 OFF the package!
- Flexible Payments: Lock in the discounted rate with just $400/month payments.
- Access to our Money-Making On-Demand
Courses & Systems Support.
🚨Act Fast! Only 10 spots are available-secure your
OP Lifers package now!
🚀Special for Beginner Traders (OP Gold):
If you’ve been enjoying our OP Gold plays (winning 85+% for the last 3 years), take advantage of this Black
Friday:
- YEARLY ACCESS for $299 ($60 off!).
- Plus, receive $150 off any of our amazing courses.
- Total savings: $210!
Email Steve@optionsplayers.com to lock in this offer
by 12/2/2024.
🤑Refer & Win Big! (Anyone Can Do This!):
Refer a friend for a FREE month of OP and a FREE month of OP Black (our benefits program saving you on gas, food, electronics, retail, and travel).
• As a thank you, YOU receive ONE YEAR of OP
Black Benefits ($120 value).
These Black Friday deals aren’t just savings-they’re
100x paybacks! Don’t miss out!Questions? Email Steve@optionsplayers.com anytime!
If you want to get the plays of the day then signup for OP Gold if you haven’t already and get a FREE TRIAL!!!
If you want to get the plays of the day then signup for Gold, and get a FREE TRIALIf you want to get the plays of the day then signup for Gold, and get a FREE TRIAL
Responses