- Fed cuts rates again - The US Federal Reserve (Fed) delivered two 25 basis points rate cuts, taking the fed funds rate to a target range of 3.5%-3.75%.
- Growth accelerates - GDP growth unexpectedly accelerated in the third quarter, expanding at a 4.3% annualised rate, following the 3.8% rate of the previous period.
- Labour market data mixed - The Bureau of Labor Statistics (BLS) reported that unemployment rose to 4.6% in November, above expectations. By contrast, that non-farm payrolls increased by 64,000 in November, a significant turnaround from October’s -105,000.
- Inflation falls – Annual headline inflation fell to 2.7% in November, down from 3% in the previous reading.
- Consumer confidence rebounds - The University of Michigan’s consumer confidence survey rose after four months of steady decline.
Figure 1: Central bank rates history and future market pricing
