The KUIK Morning Market Report for Friday, December 1:
Markets are down.
Index
Direction
Change
Units
Index
Time
Change
Dow Jones Industrial Average
Down
(37)
points
24,235
7:20 AM
S&P500
Down
0.0%
percent
2,647
(0.97)
Nasdaq Composite
Down
-0.3%
percent
6,852
30 Year Treasury
Down
(4)
Basis Points
2.79
Annual Yield
New York Fed President William Dudley said in an interview Thursday that any effort to make the tax code less complex “makes sense.” But with the economy expanding solidly and the unemployment rate at a low level of 4.1%, Fed policy makers will be watching closely to see whether any tax changes might cause the economy to overheat. Both the House and Senate tax overhaul bills under consideration would cut taxes for businesses and many individuals, which could spur households to spend more and companies to invest more.
The best way to avoid a possible inversion of the bond market yield curve would be for the Federal Reserve to be cautious about raising rates in 2018, according to St. Louis Fed President James Bullard in a speech in Little Rock, Arkansas. Inversion is when short term interest rates are higher than long term rates. The yield curve has gotten flatter under Fed Chairman Janet Yellen. Bullard said it’s on track to invert in late 2018 if the Fed stays on the pace of rate hikes suggested in the latest dot plot and longer-term Treasury yields remain near the average since 2012.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
