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DJIA Futures: +52 (+0.1%)

SPX Futures: +1 (+0.02%)

NASDAQ Futures: +21 (+0.1%)

Good morning friends!

Futures are higher after the release of the November CPI.

Let’s get right to it!

Inflation Remains Tame

U.S. inflation pressures rose slightly more than expected on a monthly basis in November but remain muted. 

The Bureau of Labor Statistics’ consumer price index rose 0.1% monthly and 3.1% year over year. 

Economists were expecting no change monthly while the annual gain was in line with estimates. 

The core CPI rose 0.3% monthly and 4% annually, as expected. 

This data comes ahead of the final Fed decision of 2023 on Wednesday. 

CME Group’s FedWatch Tool shows 98.4% of traders expecting no rate hike at that meeting. 

CNBC’s latest Fed Survey shows expectations for rate cuts to begin in mid-2024.

More than half of respondents to that survey expect a rate cut in June and 69% in July.

Overall, the survey shows an expectation of about 85 basis points worth of cuts in 2024.

Oracle Tumbles On Revenue Miss

Oracle (ORCL) shares are dropping 9.4% ahead of the open after missing fiscal Q2 revenue expectations. 

Here’s how the software company’s results compared to analysts’ estimates: 

  • Adjusted EPS: $1.34 vs $1.32 expected
  • Revenue: $12.94 billion vs $13.05 billion expected

Revenue grew 5% year over year while net income jumped 44%. 

The overall miss was due to lower than expected revenue at its services business and its cloud and on premises licenses business.

Oracle forecast fiscal Q3 adjusted EPS of $1.35 to $1.39 and 6% to 8% revenue growth. 

Analysts were anticipating guidance for adjusted EPS of $1.37 and 7.6% revenue growth.

Hasbro Drops After Layoff Announcement

Hasbro (HAS) shares are down 4.4% in premarket trade after announcing it will lay off about 1,100 employees. 

The cuts come as the toy maker is struggling with soft sales even into the busy holiday shopping season. 

In a memo to employees the CEO said, “While we have made some important progress across our organization, the headwinds we saw through the first nine months of the year have continued into Holiday and are likely to persist into 2024.”

Hasbro warned trouble was ahead in its latest earnings report in October when the company slashed its full-year outlook. 

Ford Cuts 2024 F-150 Lightning Production Plans

Ford (F) shares are up 0.1% ahead of the open after announcing it will cut planned production of its electric F-150 Lightning in half next year. 

The company’s updated production plans call for an average volume of around 1,600 F-150 Lightnings per week starting in January.

That’s down from previous plans to produce roughly 3,200 of the trucks per week. 

The cuts come amid lower than anticipated demand for the electric trucks. 

Ford executives have said the company will match production to demand. 

The automaker sold 4,400 F-150 Lightnings in November, bringing the total so far in 2023 to 20,365.

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