KEY DATA: ADP: 215,000; Small Businesses: 102,000/Trade Deficit: $2.3 billion narrower
IN A NUTSHELL: "The stars seem to be aligning for a lot better growth as firms are hiring and exports are surging."
INDICATOR: Supply Managers' November Survey
KEY DATA: ISM (Manufacturing): 57.3 (up 0.9 point); Orders: up 3.0 points: Employment: up 3.3 points; Backlogs: up 2.5 points.
IN A NUTSHELL: "The manufacturing sector is bouncing back strongly and that is the clearest sign that any government-induced slowdown is behind us."
INDICATOR: October Durable Goods Orders and Weekly Jobless Claims
KEY DATA: Durables: -2.0; Excluding Aircraft: -0.3%; Capital Spending: -1.2%/Jobless Claims: 316,000 (down 10,000)
IN A NUTSHELL: “Business capital spending has flattened, which would normally be a worry, but the improving labor market situation outweighs those concerns.”
KEY DATA: Permits: +6.2%; Year-over-Year: +13.9%/Confidence: -2.0 points/Case-Shiller (20-City monthly): +1.0%; Year-over-Year: +13.3%
IN A NUTSHELL: "Rising prices and increasing builder activity point to a housing market that may be better than expected."
INDICATOR: October Pending Home Sales
KEY DATA: Pending Sales: -0.6%; Year-over-Year: -1.6%
IN A NUTSHELL: "It looks like the surge in housing is behind us."
INDICATOR: October Consumer Price Index and Existing Home Sales
KEY DATA: CPI: -0.1%; Excluding Food and Energy: +0.1%/Existing Home Sales: -3.2%; Prices (Year-over-Year): +12.8%
IN A NUTSHELL: “Inflation is tame and that is good as the last thing the housing market could use right now is a pop in mortgage rates.”
INDICATOR: October Retail Sales and Real Earnings
KEY DATA: Sales: +0.4%; Excluding Vehicles: +0.2%/Real Hourly Earnings: +0.2%; Year-over-Year: +1.3%
IN A NUTSHELL: “That households are out there buying despite minimal income gains is really good news.”
INDICATOR: Third Quarter Employment Costs
KEY DATA: ECI: +0.4%; Year-over-Year: +1.9%; Wages and Salaries: 0.3%; Year-over-Year: 1.6%
IN A NUTSHELL: “With labor costs tame, the Fed will likely not have to worry about inflation for quite a while.”