It puts USA growth at 2.5 percent this year and 1.8 percent in 2020, in both cases likely slower than 2018's figures, which have not been finalized due to the government shutdown. Facebook shares then leapt 11 percent after hours after it had reported better-than-expected profits following a year of high profile data scandals.
The Federal Reserve's policy twist on Wednesday might seem just what the White House ordered, with a hold put on what President Donald Trump termed "loco" interest rate hikes, and an openness to ending the monthly runoff of up to $50 billion from the US central bank's balance sheet. The Brexit situation has become even more perplexing following the developments in the UK House of Commons, subjecting GBP to even more uncertainty and headline risk.
But after the jobs data, traders reduced rate-cut bets, though they continue to bet against a rate hike. That formed a sentiment in the market which sent the US Dollar lower that day.
The Australian dollar was steady at $0.7266. The pan-European STOXX 600 index fell 0.2 percent.
One negative spot for the USA economy is in the area of business investment where companies have been "sitting on their hands" says Stanley.
"They've been in a very strong environment, but you can see things start to slow down a little bit", Hodge said.
That is surely good news for President Donald Trump, who has been critical of the Fed's rate hikes over 2018.More news: Imagining a Kyrie Irving and LeBron James reunion
Game over! Fed Chair Jay Powell surprised the mkts and investors yesterday when he announced it was "Game Over" (for now).indicating that the FED was done raising rates for now.and investors/traders and the algo's loved it.Stocks soared with the DOW gaining 430 pts or 1.7%, the S&P up 41 pts or 1.5%, Nasdaq added 154 pts or 2.2% while the Russell tacked on 15 pts or just over 1%. On Nov. 26, Trump commented again to the Wall Street Journal, "I think the Fed right now is a much bigger problem than China".
The negative-to-positive ratio is now 3.0, which is above the long-term average of 2.7 and above the prior four-quarter average of 1.5, Refinitiv said. The estimated rate of expansion for the first quarter bounced to 2.39 percent from 2.17 percent last Friday. The Caixin/Markit index of Chinese manufacturing fell to its lowest since February 2016.
So in the end - anyone who wanted the FED to issue a dovish statement - got what they wished for.and while it appears as if the move suggests that the United States is faltering - we would argue that the earnings reports and the macro data in the USA negate that argument.but I do think that he (jay Powell) is concerned about the ongoing trade dispute with China and slowing or stagnating growth in Europe.
USA crude futures edged up 5 cents to $53.87 per barrel, while Brent rose 13 cents to $60.97. U.S. West Texas Intermediate (WTI) futures rose $1.47 to settle at $55.26.
The strong gains were followed by the South Korean won and Thai baht, which rose 0.6 percent and 0.4 percent, respectively, against the dollar.
That in turn has been a drag on the US dollar, though it was off its lows on Friday. Spot gold rose 0.1 percent to $1,321.03 per ounce, having touched a top of $1,326.30. This time, traders must watch changes in the language and whether they lean on the hawkish or the dovish side compared to the previous statement, because it will turn the Dollars bullish or bearish, depending on the outcome. "The outlook for a tightening phase has come to an end", said Minh Trang, senior currency trader at Silicon Valley Bank in Santa Clara, California.