The KUIK Morning Market Report for Friday, November 10:
Markets are down.
Index
Direction
Change
Units
Index
Time
Change
Dow Jones Industrial Average
Down
(47)
points
23,416
7:16 AM
S&P500
Down
-0.2%
percent
2,579
Nasdaq Composite
Down
-0.2%
percent
6,738
F
30 Year Treasury
Up
5
Basis Points
2.85
Annual Yield
Stocks are down for a second straight session. Investors are anxious about a possible delay in corporate tax cuts. Yesterday the Senate Finance Committee released its draft tax bill, which differed from the House Republicansā plan. A key diffence is a proposal to defering a cut in corporate tax to a 20% rate until 2019, rather than next year as in the House plan. The two versions of the tax overhaul will be further debated and negotiated before the final vote, and investors are losing faith that the bill will be passed before Thanksgiving or even Christmas. The prospect of a major tax overhaul has been one factor propping up the U.S. stock market recently, as investors see tax cuts supporting company earnings and boosting the economy.
Marketwatch reports the University of Michigan Consumer Sentiment index fell to 97.8 from 100.7 in October. Both current and future expectations fell but the index is still at its second-highest level since January. There was a slight rise in year-ahead inflation expectations, and expectations of higher interest rates. Consumers are still confident due to an improving labor market and anticipated wage gains.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
