Treasuries rallied overnight on better buying from Asian investors, but prices have now pulled back on supply pressures from Europe and are unchanged versus yesterday’s close.  Asian equity markets were mostly higher, although a few markets were still closed for holiday (China, Taiwan, and S. Korea).  Most European equity indices are lower as the Catalonia situation continues to weigh somewhat on investor sentiment, and S&P 500 futures are down 3 points. The debate in the markets around who will be nominated to be the next Fed Chair remains lively. The Wall Street Journal’s Editorial Board is recommending that the White House steer clear of current Chair Janet Yellen and Governor Jerome Powell because both represent the status quo for post-crisis monetary policies.  Former Fed Governor Kevin Warsh, who is reported to be under consideration as well, is drawing criticism from both conservatives and liberals for various reasons, and a wildcard candidate suggested by bond manager Jeff Gundlach is Neel Kashkari, who currently heads the Minneapolis Fed and is considered one of the more dovish members of the FOMC.

Jason Haley
Managing Director, Investment Management Group

DateEvent SurveyActualPriorRevised
10/2/17Markit US Manufacturing PMISep F5353.153
10/2/17ISM ManufacturingSep58.160.858.8
10/2/17ISM Prices PaidSep6371.562
10/2/17ISM New OrdersSep64.660.3
10/2/17ISM EmploymentSep60.359.9
10/2/17Construction Spending MoMAug0.40%0.50%-0.60%-1.20%
10/3/17Wards Total Vehicle SalesSep17.15m18.47m16.03m
10/3/17Wards Domestic Vehicle SalesSep13.00m14.33m12.48m
10/4/17MBA Mortgage Applications29-Sep-0.40%-0.50%
10/4/17ADP Employment ChangeSep135k135k237k228k
10/4/17Markit US Services PMISep F55.155.355.1
10/4/17Markit US Composite PMISep F54.854.6
10/4/17ISM Non-Manf. CompositeSep55.559.855.3
10/5/17Challenger Job Cuts YoYSep5.10%
10/5/17Initial Jobless Claims30-Sep265k272k
10/5/17Continuing Claims23-Sep1950k1934k
10/5/17Trade BalanceAug-$42.7b-$43.7b
10/5/17Bloomberg Consumer Comfort1-Oct51.6
10/5/17Factory OrdersAug1.00%-3.30%
10/5/17Factory Orders Ex TransAug0.50%
10/5/17Durable Goods OrdersAug F1.70%1.70%
10/5/17Durables Ex TransportationAug F0.20%
10/5/17Cap Goods Orders Nondef Ex AirAug F0.90%
10/5/17Cap Goods Ship Nondef Ex AirAug F0.70%
10/6/17Change in Nonfarm PayrollsSep80k156k
10/6/17Two-Month Payroll Net RevisionSep
10/6/17Change in Private PayrollsSep74k165k
10/6/17Change in Manufact. PayrollsSep8k36k
10/6/17Unemployment RateSep4.40%4.40%
10/6/17Average Hourly Earnings MoMSep0.30%0.10%
10/6/17Average Hourly Earnings YoYSep2.50%2.50%
10/6/17Average Weekly Hours All EmployeesSep34.434.4
10/6/17Labor Force Participation RateSep62.90%
10/6/17Underemployment RateSep8.60%
10/6/17Wholesale Trade Sales MoMAug0.00%-0.10%
10/6/17Wholesale Inventories MoMAug F1.00%1.00%
10/6/17Consumer CreditAug$15.540b$18.499b