U.S. GDP Comes In On Schedule
Shain Vernier • 1 min read
U.S. GDP for Q1 has come in as expected at 3.1%. Traders and investors are bidding this data with caution, producing a modestly green Wall Street open. Through the first half-hour of trade, the DJIA DOW (+83), S&P 500 SPX (+14), and NASDAQ (+45) are in positive territory.
Aside from Q1 GDP, several other U.S. metrics were released in the pre-market hours. Here is a quick look:
Event Actual Projected Previous
Continuing Jobless Claims (May 17) 1.657M 1.662M 1.683M
Initial Jobless Claims (May 24) 215K 215K 212K
Core Personal Consumption (QoQ, Q1) 1.0% 1.3% 1.3%
GDP (Q1) 3.1% 3.1% 3.2%
Goods Trade Balance (April) -$72.12B NA -$71.33B
To summarize, U.S. employment remains strong, consumption is down, and output is relatively static. All in all, there isn’t a whole lot to see here. The U.S. indices and Greenback are up modestly as the markets take an “I told you so” stance.
S&P 500 Up Modestly Following U.S. GDP Release
The daily downtrend is in full effect for the S&P 500, but values are up a bit following today’s U.S. GDP report. At this point, stock players are holding on to a somewhat shaky early-session rally.
Overview: The U.S. indices have taken a beating throughout May in the wake of trade war hysteria. However, the calendar is getting ready to flip to June, a much-anticipated development for equities bulls. Markets often move directionally upon the onset of a new month ― those long the S&P 500 are hoping that north is the way forward starting next Monday.