Chief Global Investment Strategist Jeffrey Kleintop’s 90-second take on the markets for the week ahead.
Weekly Market Outlook
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Weekly Market Outlook
[Screen shows "Weekly Market Outlook with Jeffrey Kleintop"]
[Jeff holds up illustration of a turkey labelled "Thanksgiving"]
From the Fed minutes to the PMI surveys and giving thanks for Black Friday shopping, I'm Jeff Kleintop with what you need to know for the week ahead.
The stock and bond markets in the U.S. are closed Thursday as Americans celebrate Thanksgiving. And that's
[Jeff holds up an illustration of credit cards]
followed by Black Friday, the traditional start of the holiday shopping season, which offers us a real time look into the state of the consumer after a sober outlook from retailers earnings reports last week.
[Jeff holds up an illustration of Mr. Potato Head™]
we turn into couch potatoes, on Thursday investors will gobble up the minutes of the Fed's November 1st meeting, seeking clues on the outlook for rates. Looking back, officials held rates steady for the second meeting in a row. The minutes will likely reveal why the Fed discounted the third quarter GDP growth boom as temporary, probably suggesting they see increasing signs of labor market cooling and a borrowing slowdown in the latest Senior Loan Officer Opinion Survey offering further support that the Fed is done hiking.
[Jeff holds up an illustration of a roast turkey attached to a bicycle pump labelled "Inflation"]
Japan's inflation report for October will likely confirm cost-push inflation is picking up again. The Bank of Japan sees inflation remaining above its target range next year. The market may begin to price in what may seem like an inevitable series of rate hikes in Japan next year. And that shift in policy, even as other central banks may be beginning rate cuts, could have sizable impacts on cross-border capital flows.
We will be feasting
[Jeff holds up illustration of blocks labelled "M,T,W,T,F" with the second "T" circled]
on the November Purchasing Managers' Index survey data on Thursday for the U.K., Japan and Europe's biggest economies, with the U.S. data delayed until Friday. Now these surveys signal the outlook for earnings. Investors will focus on any signs of stabilization in the global manufacturing recession and any further slowdown in the growth in services activity.
[Jeff holds up a note with the words "Thank you"]
Thanks for watching.
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