Macroeconomics Update July 7, 2023

Macro is top of mind in market phases like this, when the Federal Reserve FOMC has been raising interest rates in response to evolving macroeconomic data to tame inflation. 

Macro trends make investing more of a challenge when good economic news may be bad news for the stock market, and visa versa. 

Macroeconomic reports today: 

A rare miss for nonfarm payrolls (21k below consensus) and the first miss in fifteen months. Revisions were also negative. 

Average hourly earnings surprised on the upside at 4.4% year-on-year (vs. 4.2% expected).

Consistent with an expected 25bps hike later this month. 

Mike Shell