Today: Congress has until 12.01 a.m. tonight to reach a deal to avoid a government shutdown. President-elect Trump and Elon Musk cajoled Congress into rejecting a bipartisan deal on Wednesday, and Congress then rejected a second, smaller funding extension bill on Thursday. Crucially, the second deal was supported by Trump — setting up a dramatic showdown today.
The markets: Both the S&P 500 and the Nasdaq closed incrementally down yesterday, consolidating brutal losses from the day before after the Fed signalled it would deliver fewer interest rate cuts in 2025 than previously expected. US futures are pointing to more losses at the open this morning.
Inflation: The Bureau of Economic Analysis will release an update on the Fed’s favorite inflation index, personal-consumption expenditures (PCE), at 8:30 a.m. ET this morning, which will give us a progress report on how the fight against inflation is going.
CEOs shrug off Fed signal at Yale summit
