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DOW JONES INDUSTRIAL AVERAGE COOLS AS POST-ELECTION RALLY CHILLS

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  • The Dow Jones eased on Thursday as Trump election rally short-circuits.
  • US producer-level prices printed at expectations, easing investor concerns.
  • Friday brings Retail Sales data to round out the trading week.

The Dow Jones Industrial Average (DJIA) pumped the brakes on the recent post-election rally that saw a decisive win for presidential candidate and former President Donald Trump. Investors overwhelmingly perceived the returning contender for the White House as a pro-market representative within the US government. The election glut in equities is now fizzling out as equities pare back slightly from record highs.

Producer Price Index (PPI) producer-level inflation figures came in roughly as expected, despite a slight upswing in annualized core PPI numbers. Headline PPI matched forecasts in October, rising 0.2% MoM compared to the previous month’s revised 0.1%. Core PPI for the year ended in October accelerated more than expected, ticking up to 3.1% compared to the expected 3.0% rising above the previous period’s 2.9%, which was also revised slightly higher from 2.8%.

US Retail Sales are due on Friday and is the last batch of meaningful US data on the docket this week. October’s Retail Sales are expected to ease to 0.3% MoM from the previous 0.4%, while Retail Sales excluding automobiles are expected to decline to 0.3% from 0.5%.



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