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Investing.com — Happy 30k Day! The Dow jumped to above the level for the first time ever.
The presidential transition from Donald Trump to Joe Biden has begun as the President-elect announces key positions, including the possibility of former Federal Reserve Chair Janet Yellen becoming his Treasury Secretary nominee.
Value stocks rose on the backs of three possible vaccines and a reopening of the world — even as Los Angeles cracked down on outdoor dining and New York set up travel checkpoints to curb the spread of Covid-19. Oil prices were also higher, alongside airlines.
Housing prices also continuing to trend higher as demand stays strong.
Here are three things that may move markets tomorrow:
1. The state of the economy
The second print of third-quarter GDP will likely continue to show a major rebound in economic activity from the second quarter. Economists are not expecting any major revisions from the prior 33.1% reading. The number comes out at 8:30 AM ET (1230 GMT).
On jobs, analysts are looking to see whether last week’s number was a one-off, or the beginning of a trend. Initial jobless claims spiked last week amid the jump in Covid-19 cases, but consensus is for a drop to 730,000 from the prior 742,000. This number also comes out at 8:30 AM ET.
Look for a decline in both income and spending for October with the end of stimulus and unemployment benefits. Economists expect income to dip to 0.1% from 0.9% and spending to fall to 0.4% from 1.4%. These numbers are due out at 10:00 AM ET (1400 GMT).
There’s also durable goods orders, new home sales and the University of Michigan Sentiment reading.
2. Earnings from a big industrial component
Deere (NYSE:DE) is the highlight of the earnings calendar, with earnings per share of $1.38 on sales of $7.57 billion. The company’s initial 2021 outlook — assuming one is provided — will be keenly watched.
3. Minutes from the Federal Open Market Committee
If all that economic data doesn’t do it for you, we’ll also get a look at the FOMC meeting minutes from earlier this month. The minutes are released at 2:00 PM ET (1800 GMT). Fed watchers will parse the text for clues on possible changes to asset purchases, with some economists expecting a bump in December.
