Recently, the Senate approved a $1.7 trillion spending package that will fund the federal government until next fall and provide $50 billion in assistance to Ukraine. The package includes military funding, domestic programmes, a bipartisan overhaul of a 135-year-old law, emergency aid, a ban on TikTok on government devices, and new rules to help Americans save and pay for retirement. It is expected to provide necessary funding and important measures that will benefit the American public and the world. However, the market remains wary of the increased government interest expenses it could bring.
EQUITY
Santa is here, and the market is on the naughty list. The S&P 500, Dow, and tech-heavy Nasdaq all fell on Thursday as investors worried about the Federal Reserve's monetary policy and the possibility of a recession in 2023, as well as a disappointing forecast from Micron Technology, which led to a drop in the semiconductor index.
GOLD
The price of gold fell 1.21% after the US dollar rose for the second day. The outlook for industrial metals remains uncertain in the face of rising interest rates and a potential recession.
OIL
Millions of Americans are facing the potential dangers of a winter storm that is expected to bring blizzard conditions, heavy rains, and freezing temperatures, potentially resulting in travel disruptions, power outages, and frostbite. Despite the possibility of a decline in transportation fuel demand, oil prices rose on Friday as a result of lower Russian crude exports from the Baltic region in December.
CURRENCY
The U.S. dollar strengthened against most major currencies on Thursday due to positive labour market data, which suggests the Federal Reserve will maintain its aggressive policy-tightening campaign. The euro and yen weakened, while sterling fell to a three-week low.