US benchmark equity indexes concluded the day mixed as investors parsed through the latest labor market data and comments made by a Federal Reserve governor concerning inflation and monetary policy. Fed Governor Christopher Waller expressed optimism that inflation could return to the policymakers' 2% target over the medium term, suggesting that further monetary policy easing might be warranted.
He noted, 'After a period of rapid disinflation in 2022 and 2023, progress appears to have stalled in the final months of 2024.' Meanwhile, the private sector has shown that employment in the US increased by 122,000 jobs in December. This figure, according to data from Automatic Data Processing (ADP), fell short of the anticipated rise of 139,000 that was expected based on a survey by Bloomberg.
Nela Richardson, the Chief Economist at ADP, remarked on the labor market's shift to a more modest growth pace in December, highlighting a slowdown in both job creation and wage increases. In the commodities market, February West Texas Intermediate crude oil prices decreased by $0.91 to settle at $73.35 per barrel, while March Brent crude, the global benchmark, dropped by $0.85 to $76.20, despite reports indicating a reduction in US inventories along with a decline in OPEC+ supplies last month.
Additionally, Meta Platforms announced plans to test a new feature in the US, France, and Germany, allowing users to browse eBay listings on Facebook Marketplace prior to completing transactions on eBay. This announcement resulted in a notable 10% surge in eBay's stock, while Meta's shares saw a decrease of 1.4%.
On a less positive note, shares of Edison International saw an 11% drop amid ongoing wildfires in Los Angeles, leading the company to cut power for approximately 157,000 customers, which accounts for 3.1% of its customer base of 5 million..