Stock Market News Today, 11/8/24 – Stocks Finish Week at Record Levels

Last Updated: 4:31 PM EST

Stock indices finished today’s trading session in the green. The Nasdaq 100 (NDX), the S&P 500 (SPX), and the Dow Jones Industrial Average (DJIA) gained 0.07%, 0.38%, and 0.59%, respectively, with each hitting new closing records.

Additionally, earlier today, the University of Michigan released its preliminary results on consumer inflation expectations over the next five years. Consumers now expect inflation to be 3.1%, which was higher than the expected 3% and increased compared to the previous month. Taking a look at consumer sentiment, results came in at 73, which was higher than the expected 71. This is also a jump compared to last month’s reading of 70.5.

Separately, billionaire bond investor Jeffrey Gundlach recommended in a CNBC interview that investors focus on intermediate-term U.S. Treasury bonds and avoid long-term ones (like 20- and 30-year bonds) because he expects rising fiscal issues to push interest rates higher, even as the Fed eases policy.

The Fed’s recent rate cut sparked some bond buying, temporarily lowering Treasury yields. However, since the big half-point cut in September, yields have surged due to a $2 trillion deficit and a sharp increase in national debt interest costs, which rose from $300 billion three years ago to $1.3 trillion annually.

Gundlach points out that refinancing old, low-interest debt at today’s high rates adds strain to the bond supply. For this reason, he favors intermediate-term bonds to avoid these risks.

First Published: 3:59 AM EST

U.S. stock futures were largely stable on Friday morning as investors digested the Federal Reserve’s latest monetary policy decision to cut interest rates by 25 basis points. The central bank cited easing labor market conditions and falling inflation as key factors supporting its decision. Futures on the Nasdaq 100 (NDX), the Dow Jones Industrial Average (DJIA), and the S&P 500 (SPX) were up 0.06%, 0.02%, and 0.07%, respectively, at 3:33 a.m. EST, November 8.

On Thursday, the S&P 500 and Nasdaq Composite closed higher by 0.7% and 1.5%, respectively, driven by the ongoing post-election rally. Both indices reached new record highs, reflecting investor optimism about the future economic outlook. In contrast, the Dow Jones closed slightly lower after hitting a record high earlier that day.

The market’s strong performance after Trump’s victory reflects optimism around potential deregulation and tax cuts. However, worries about the growing federal deficit and possible tariff hikes have fueled inflation concerns, which could lead to more market volatility in the coming months.

In today’s economic calendar, investors are looking ahead to November’s Michigan Consumer Sentiment Index and 5-year Consumer Inflation Expectations. These reports offer insights into U.S. consumer confidence and inflation expectations and influence the Fed’s monetary policy decisions.

Today, the earnings calendar is light, with only a handful of companies scheduled to release their numbers, which include Paramount (PARA), Ocugen (OCGN), and Sony Group (SONY).

Meanwhile, the U.S. 10-year treasury yield is down at the time of writing, floating near 4.31%. At the same time, WTI crude oil futures trended lower, hovering near $71.72 per barrel as of the last check.

Elsewhere, European markets opened higher today buoyed by recent interest rate cuts from the U.S. Federal Reserve and the Bank of England.

Asia-Pacific Markets Traded Lower on Friday

Most of the Asia-Pacific indices traded lower today as investors awaited economic stimulus announcements from China, following the conclusion of the National People’s Congress Standing Committee meeting today.

Hong Kong’s Hang Seng index was down 1.07%. Further, China’s Shanghai Composite and Shenzhen Component indices declined 0.53% and 0.66%, respectively. Moreover, Japan’s Topix index finished lower by 0.03%, but the Nikkei index gained by 0.3%.

Interested in more economic insights? Tune in to our LIVE webinar.

Disclosure