The economic data continues to roll in, so let’s see what today brought with it. 📝
First is the Fed’s key inflation measure, the core personal consumption expenditures index (PCE). After rising from July through September, the measure fell 0.2% in October to 5% YoY. The volatility in the data makes it hard to identify a clear trend. As Jerome Powell said yesterday, there is still much work to do on the inflation front. 🥵
Additionally, personal income rose 0.7% in October, above estimates for a 0.4% increase. While personal spending rose 0.8%, as expected.
Weekly jobless claims gave back most of last’s week’s jump, falling from 16,000 to 225,000. 📉
Speaking of the Fed, economist Austan Goolsbee was named the next Chicago Fed President. He will take the place of Charles Evans, who is retiring early next year.
Today’s purchasing managers index (PMI) data showed that U.S. manufacturing contracted in October for the first time since June 2020. 🏭
Meanwhile, the U.S. government fights to avoid any additional self-inflicted wounds. The Senate passed the bill to avert a national railroad strike but voted down the House’s addition of seven paid sick days for workers. This will send it to the President’s desk for signing ahead of Friday’s deadline.
The Supreme Court says it will continue blocking Biden’s student loan forgiveness program. It has scheduled arguments for February and will conclude by the June deadline when payments and interest are set to resume. ⚖️