Succinct Summation of the Week's Events

Succinct Summation of the Week’s Events:

Positives,

1)Initial jobless claims totaled 204k vs 202k last week and that was below the estimate of 215k. This drops the 4 week average to 211k from 217k and that’s the lowest since February. Continuing claims rose 12k to 1.67mm but after falling by 25k in the week before.

2)Headline PCE for September rose .4% m/o/m headline and by .1% core, both one tenth below estimates but because of rounding the y/o/y gains of 3.5% and 3.9% were as forecasted. Higher gasoline prices showed up in the jump in nondurable goods prices of 1.4% m/o/m but offset by a drop of .3% m/o/m in durable goods. Service prices grew by .2% m/o/m. Food prices were up by .2% m/o/m.

3)Likely a boost to Q3 GDP estimates, the August goods trade deficit was lower than expected at $84.3b, $7b less than estimated as exports rose 2.2% m/o/m and imports fell by 1.2% m/o/m.