KG: Analyzing NVDA Volatility Impact & Retail Signals for FOMC

Economic Data Summary - Pending home sales for October increased by 1.9%, significantly surpassing the street's expectation of 0.5% and a previous revision of 0.1% [2][3] - The mortgage rates are trending downwards, and home prices are stabilizing, indicating potential buyer activity in the market [3] - There is a notable increase in home inventory, leading to a rise in cancellations from buyers, suggesting more options available in the market [4] Retail Sales Insights - Retail sales for September showed a month-over-month growth of 0.2%, falling short of the expected 0.4% [6] - The retail control group, a critical component for assessing consumer spending, reported a decline of 0.1% month-over-month, which may lead to downward revisions in GDP forecasts [8] Market Reactions - The S&P 500 is experiencing volatility, with Nvidia's stock dropping about 7% and falling below the key support level of 170 [12][13] - The market is reacting to mixed economic data, with increased expectations for a 25 basis point rate cut in December, now estimated at 80% [10] Commodity Market Developments - Oil prices are trading down at around $57.20, influenced by reports of Ukraine potentially agreeing to a revised peace deal [18][19] - The potential easing of sanctions could increase supply in the oil market, impacting Brent oil prices [21] - Natural gas is also experiencing a selloff, attributed to seasonal trends and potential increases in Russian exports to Europe [22][23]