GuideStone Funds

Inflation remained steady in October, with core CPI up 0.3% and 3.3% year-over-year, above the Fed’s 2% target. Unemployment claims hit their lowest since May, and retail sales rose 0.4%, signaling strong consumer spending ahead of the holidays. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute: https://lnkd.in/ehhrCGri

The Federal Open Market Committee (FOMC) cut the federal funds rate by 25 basis points to 4.50%–4.75%, responding to easing inflation and a slowing job market. Chairman Powell stated future rate changes will be based on economic, not political, factors. The services sector saw strong growth in October, with a 56.0 index and easing price pressures. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute. ?? https://brnw.ch/21wOzFO

In September, core PCE inflation rose 0.3% month-over-month and 2.7% year-over-year, while consumer spending increased 0.4%. With inflation above the Fed’s 2% target, future rate cuts may slow. The U.S. economy grew at an annualized 2.8% in Q3, boosted by consumer and government spending. Job openings dropped to their lowest since early 2021, and October job growth slowed to 12,000 due to weather and strikes, though the unemployment rate held at 4.1%, with wages up 0.4%. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute. ?? https://lnkd.in/ehhrCGri

Existing home sales slowed in September due to high mortgage rates and prices, while new home sales rose 4.1% on better affordability and incentives. Consumer sentiment also improved, reaching a six-month high. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute. ?? https://lnkd.in/ehhrCGri

In September, U.S. retail sales rose by 0.4%, exceeding expectations, while unemployment claims fell by 19,000 to 241,000 despite potential volatility from recent hurricanes. However, industrial production declined by 0.3%, impacted by the Boeing strike and hurricane disruptions. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute ?? https://lnkd.in/ehhrCGri

In September, U.S. consumer prices rose slightly more than expected at 2.4%, with core inflation ticking up to 3.3%, adding uncertainty around future interest rate cuts. The Federal Reserve’s latest meeting revealed a split on the recent half-point rate cut, while consumer sentiment dipped for the first time in three months. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute: https://brnw.ch/21wNMWw

Federal Reserve Chairman Powell signaled two 25-basis point rate cuts as a baseline, contrary to market expectations. U.S. job openings rose in August despite a slowdown in hiring, while the manufacturing sector remained in contraction. September saw strong job growth, with 254,000 new jobs and unemployment falling to 4.1%, which may reduce the chances of larger Fed rate cuts in November. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute. https://lnkd.in/ehhrCGri

In August, U.S. inflation slowed, with the Personal Consumption Expenditures Index rising 2.2%, while economic growth remained steady at a 3.0% annual GDP rate, and unemployment claims dropped to a four-month low of 218,000, signaling a strong economy. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute. https://lnkd.in/ehhrCGri

The Federal Reserve cut the federal funds rate by 50 basis points to 4.75%-5.00%, starting a monetary easing cycle due to concerns about labor market weakness. Read our recap of last week’s economic and financial news in GuideStone’s Weekly Macro Minute. https://lnkd.in/ehhrCGri

This week’s economic highlights include a modest rise in inflation driven by service and consumer prices, a new record in household net worth, lower mortgage rates, and improving consumer sentiment, as the Federal Reserve anticipates its first interest rate cut since 2020. https://lnkd.in/ehhrCGri