💎Blessed day for traders🗽

Equity markets broadly ran up on Wednesday as the consumer confidence data is far better than expected. In addition, with good corporate earnings from Nike, there is a pause on some concerns surrounding the various headwinds. 

As the markets break away from the losing streak, we will still need to wait for Friday’s PCE, which is the Fed’s favourite indicator of inflation. 

Indeed, the consumer confidence index is beating estimates as we observe some easing inflation and gas prices. 

Pika World maintains a cautious bull in this bear market, and sentiment could swing down again. 

📱Micron: Good earnings but cut labour anyway💰

While MU reported a soft result for its first fiscal quarter, its guidance brings some light and hope for investors. It had projected an improvement in the memory market conditions for next year. 

The softening demand is attributed to weakening demand across multiple consumer goods segments such as PCs, smartphones, and servers. It is actively reducing costs until there is a significant improvement in the macroeconomic conditions. This means reducing staff count by 10% and clawing back on capital spending. 

Pika World has begun eyeing AMD, too, for long-term positions. 

📦Existing home sales plunging🔑

We are seeing the pressure from higher mortgage rates that are hurting existing home sales which is now the 10th straight monthly decline. In addition, affordability is weakening, and homeowners are pausing to list their homes. Moreover, housing inventory is low and thus hurting potential sales. 

📮What’s on the menu today?📖

At 9.30 pm, GDP for the QoQ is expected to remain at 2.9%. 

Then we will also receive the Initial Jobless Claims simultaneously, which is expected to stand at 222K, a rise from 211K. This data is important because the Fed needs to see the labour market cooling before re-assessing its monetary policy. Thus far, the labour market has shown remarkable strength, even for income growth which is the potential bedrock for hot inflation. 

It is 22 December, Thursday, at 9 am in Singapore and 8 pm in New York. It was a good run yester