New York Stock Exchange, November 21, 2024.
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This report comes from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open keeps investors updated on everything they need to know, no matter where they are. Like what you see? You can subscribe here.
What you need to know today
U.S. markets take a breather
this S&P 500 Index Down 0.19% Dow Jones Industrial Average Down 0.55% Nasdaq Index Stocks fell 0.18% as traders awaited today’s jobs report. European regional Stoke 600 It rose 0.4%, rising for the sixth consecutive day. French CAC 40 The country’s government gained 0.37% despite being ousted in a vote of no confidence.
What to expect from the U.S. jobs report
The U.S. non-farm payrolls report for November will be released later today. After a surprisingly low 12,000 jobs were added in October, largely due to factors such as hurricanes and strikes, economists surveyed by Dow Jones expect the U.S. economy to add 214,000 jobs in November. The October numbers are also likely to be revised higher.
OPEC+ extends oil supply cuts
The OPEC+ oil producer alliance will postpone plans to postpone several formal voluntary production cuts until 2026, according to representative sources. Affected by this news, oil prices rose slightly.
An unlikely endorsement of Bitcoin
Thursday, Bitcoin It broke the $100,000 barrier – although it has since fallen back from that level to around $96,500. While the initial excitement may have been sparked by U.S. President-elect Donald Trump’s plan to nominate Paul Atkins to serve as Securities and Exchange Commission chairman, there was also a boost from Federal Reserve Chairman Powell’s comments that Bitcoin is a “rival to gold.” market sentiment.
(PRO) Bitcoin is the new gold?
gold It has long held a place in investors’ portfolios as a hedge against market volatility and geopolitical instability. Strategists say Bitcoin could overtake gold’s role as its popularity and price rise rapidly, especially in recent months.
bottom line
The U.S. economy and financial markets appear to be firing on all cylinders.
Although the major U.S. stock indexes fell yesterday, looking at this week’s performance, it looks like it is pausing slightly after setting a series of record closing levels.
Bank analysts say U.S. stocks are likely to continue hitting new highs in the future.
“In terms of SPX movement, we believe the index will end 2025 in a range of 6,500 to 6,700,” said Scott Wren, senior global market strategist. Wells Fargowrote in Wednesday’s notes. At the higher end of Wren’s estimate, that implies room for a 10% upside from Thursday’s closing price.
If that happens for the S&P 500, it would mark the broad-based index’s third straight year of gains. The S&P is up 27.6% year to date, its second-highest annual gain of the 21st century, according to the data Deutsche Bank.
Compared with European stock markets, the strength of U.S. stock markets is more noticeable.
“MAGA policy expectations, coupled with Goldilocks data, revived animal spirits in U.S. stocks. In contrast, Europe remains disadvantaged by stagnant growth, tariff threats and a political crisis in France,” barclays bank Written on Wednesday. “It’s difficult to see an end to American exceptionalism in the short term, and we think this remains the playbook for 2025.”
Likewise, the U.S. economy shows no signs of weakening. Federal Reserve Bank of Atlanta predict The U.S. economy grew at an annualized rate of 3.3% in the fourth quarter. That was up slightly from the 3.2% forecast earlier this week and higher than the 2.8% growth rate in the third quarter.
Employment is the engine of much of the economy. The November jobs report due later today will give investors a deeper understanding of whether U.S. economic and financial growth can continue to move forward.
—CNBC’s Jesse Pound, Lisa Kailai Han and Sean Conlon contributed to this report.
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