🎯Take a chill pill: It’s December🍏

The equity market followed a clueless trading session and seesawed while pausing risk-on sentiments. However, recent gains were consolidated given that the Fed is on pace to moderate the pace of interest rate hikes, and that is pleasant to the ears of investors. 

Ultimately, there’s one more overhang on the equity market. It’s Friday’s job report that we have been eyeing. Before the release, few traders want to be aggressively bullish. 

🎲More signs of inflation cooling🔑

The PCE index, often seen as the Fed’s preferred inflation reading, showed further signs of weakening. It rose by 6% over the year, lower than the forecast of 6.2%. It is also another tick down from the prior reading of 6%. 

As more signs of inflation moderate, equity markets can gain momentum to move higher if investors are convinced that a soft landing is in place and the spread of corporate earnings recession is kept at bay. 

On the flip side, the labour market seems healthy as weekly jobless claims fell to 225,000, lower than previous readings. Markets aim to see more such claims to signal the Fed to be more risk-averse towards aggressive rate hikes. 

🧸Salesforce: Corporate sending showing more cracks🕹

The company registered a 4Q forecast that is well short of analysts’ forecasts, which dampens the broader industry’s mood. Yet another sign of slower corporate spending sending a chill across the technology industry as winter might finally arrive for the sector. 

🚘Chargepoint: Moving ahead💎

The EV charging company has been brutally hit in this year’s market sell-off. Yet, there are some glitters to the stock. While there is an earnings miss, investors look at sales metrics more closely than ever. After all, ChargePoint is still in the phase of growth mode. 

Full-year sales guidance is revised with the bottom range increase from $450 million to $475 million, a mild good sign for the company. The company has about $400 million of cash in its balance sheet at the end of the 3Q. 

It is a stock that Pika World is exploring an entry for growth stocks that are in the small capitalization category. 

📮What’s on the menu today?🔭

We will receive the Nonfarm Payroll for November at 9.30 pm. We are expecting a 200K level compared to 261 K. 

At 10.56 pm, we will also have the unemployment and participation rates. Average hourly earnings will also come into the picture. Ideally, we hope for income growth to slow to reduce its feed into the inflation bedrock. 

It is 2 December, Friday, at 9.05 am in Singapore and 8.05 pm in New York. It is the week’s final trading day, and Pika World wishes all friends an enchanting weekend ahead!