Overview
- ADP reported a 32,000 drop in private payrolls for November, pushing futures pricing to nearly a 90% chance of a 25-basis-point Fed cut next week.
- Weekly jobless claims fell to the lowest level in more than three years, complicating the labor picture and nudging the 10-year Treasury yield to about 4.10%.
- Friday’s PCE inflation report is viewed as the last major input before the Fed decision, with the comprehensive November jobs report arriving only after the meeting due to the shutdown delay.
- Major U.S. indexes trade less than 1% from record highs as earnings from Salesforce, Dollar General and Five Below help sustain risk appetite.
- Meta rose on a Bloomberg report of roughly 30% cuts to Reality Labs spending tied to its metaverse efforts, while Microsoft refuted a separate report about AI sales quotas that briefly weighed on AI-linked shares.