Wednesday, September 23, 2015

Economic Journal - Wednesday, 9/23/2015


(As of 7:05 am PST)
 
US stocks opened flat to start Wednesday’s session and have been see-sawing near the unchanged line throughout the first hour of trading. There is very little economic data to lift investor sentiment, and so we seem to be stuck in a narrow trading range that should persist most of the day. A weak report out of China overnight showed China’s manufacturing activity falling to a 6 ½ year low in August, underscoring concerns over the growth of the world’s second largest economy. In Europe, stocks began the day on a down note, but quickly turned around after European Central Bank President Mario Draghi took to the stage to address the parliament. Draghi spoke with a hawkish tone, addressing the weak macro-economic conditions that plagued markets and investors throughout the summer, but reiterated that the central bank would adjust its monetary policies if necessary. Commodity prices are bouncing back after slumping yesterday with gold and oil modestly higher. Interest rates are up slightly after tumbling yesterday as the 10 yr. treasury yield hovers near 2.15%. It’s an uninspiring day to say the least, with little data to upset the market, yet little to propel it higher.

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