Macro Trends Advisors LLC founding partner Mitch Roschelle and former senior Trump economic adviser Steve Moore discuss falling stocks, large government deficits, lack of growth and false market signals on “ Cavuto: Coast to Coast”.
Here are the main events that take place on Friday this could have an impact on trade.
NIKE RESULTS: Shares fell more than 9% in premarket trading after the company said inventories rose 44% to $9.7 billion last quarter, and discounts and higher shipping costs high have reduced profit margins.
Revenue reported by Nike of $12.7 billion, up 4% from the previous year.
Earnings fell 22% to $1.5 billion, broadly in line with analysts’ expectations.
PELOTON, DICK’S SPORTING GOODS PARTNER FOR THE SALE OF EQUIPMENT
The Nike logo is displayed on a display window of a Nike store in San Francisco, California. (Justin Sullivan/Getty Images/Getty Images)
Selling and administrative expenses increased 10% to $3.9 billion.
The sportswear maker posted revenue of $12.69 billion during the period, which beat Street’s forecast. Eleven analysts polled by Zacks expected $12.33 billion.
AMYLYX PHARMACEUTICALS: Shares gain 6% in premarket trading after US health officials approved a drug to treat the deadly disease known as Lou Gehrig’s disease.
The Food and Drug Administration approved the drug based on the results of a small mid-term study, according to The Associated Press.
The agency’s in-house scientists have repeatedly said the company’s results were unconvincing. But thousands of patients urged the FDA to be flexible and grant patients access.
Lou Gehrig’s disease is incurable and most patients die within five years of the first symptoms.
BIOGEN SHARES RISE ON ALZHEIMER’S DRUG DEVELOPMENTS
INCOME AND EXPENSES: The Commerce Department releases personal income and spending figures for the month of August. Economists polled by Refinitiv forecast spending to rise 0.2% month-on-month, slightly above July’s 0.1% growth rate below expectations.
Meanwhile, personal income is expected to jump 0.3% in August, ahead of July’s 0.2% gain.
Cashier Josepine Silvestre hands change to a customer after a transaction at a Target Corp store. in Colma, California. (David Paul Morris/Bloomberg via Getty Images/Getty Images)
This brings us to the PCE price index, an inflation gauge that is beginning to rival the consumer price index in popularity. It fell 0.1% month-over-month in July and rose 6.3% year-on-year. The Fed bases its inflation target of 2% on the annual change in the PCE.
The PCE core price index, which takes into account volatile food and energy costs, is expected to rise 0.5% in August, above July’s 0.1% increase.
The year-over-year change in the Core PCE price index, which is the Fed’s preferred measure of inflation, is expected to rise for the second time in three months to 4.7%. That would be a slight increase from July’s 4.6% figure, which was the lowest since October.
MANUFACTURING: The Institute for Supply Management released its Chicago Purchasing Managers Index for September. This closely watched gauge of Midwest business activity is expected to drop to 51.8. That would be down slightly from 52.2 the previous month and the lowest since August 2020. Remember that 50 is the dividing line between expansion and contraction.
Employees work on the assembly line at the Dakkota Integrated Systems manufacturing facility in Detroit. (Jeff Kowalsky/Bloomberg via Getty Images/Getty Images)
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CONSUMER FEELING: Watch for the University of Michigan’s final consumer sentiment index for September.
It is expected to hold steady at the preliminary reading of 59.5 two weeks ago, which marked the second monthly increase from an all-time low of 50.0 in June, when record gasoline prices stoked fears of inflation.