Morning Juice – US Session Prep

Good Morning Traders.
It is Friday the 3rd of January. Here is what to look out for today.

Sentiment
US equity futures rose modestly, indicating that Wall Street stocks may finally end a five-day losing streak, the longest since April.

Contracts for the S&P 500 rose, while those for the tech-heavy Nasdaq 100 increased by 0.3%. Tesla gained in premarket trading, partially recovering from Thursday’s decline caused by disappointing vehicle sales figures.
United States Steel Corp. fell more than 9% following reports that President Joe Biden will block Nippon Steel’s acquisition of the company.

Stocks have had a volatile week, with the S&P 500 index posting intraday gains in the previous two sessions before closing lower.
US manufacturing data due later will provide investors with clues about the economy’s health as they prepare for Donald Trump’s presidential inauguration 17 days away, which will reduce uncertainty about future US policies.

The dollar fell from its two-year high yesterday, while Treasury yields edged lower.
The benchmark 10-year yield is nearly 20 basis points higher than it was before Jerome Powell’s hawkish turn at the Federal Reserve’s December 18th meeting.

European stocks fell, with miners tumbling on concerns about Chinese demand. Stellantis NV fell as much as 3.8% after some EV models that had previously received US tax credits for electric vehicles were barred under stricter regulations.

Docket
10:00 ET
US ISM Manufacturing PMI for December
Median Forecast: 48.2 | Prior: 48.4 | Range: 49.7 / 46.9
Manufacturing Prices Paid
Median Forecast: 51.4 | Prior: 50.3 | Range: 53.7 / 51

Speakers
11:00 ET
Fed’s Barkin gives keynote remarks at an event hosted by the Maryland Bankers Association, in participation with the Maryland Association of CPAs, Maryland Chamber of Commerce, Maryland Realtors, and Maryland Retailers Alliance.
Text and Q&A expected

ECB’s Lane participates in a panel on “Geopolitical Fragmentation” hosted by the American Finance Association at the annual meeting of the American Economic Association/Allied Social Science Associations in San Francisco.