EOY Market Watch

🏦 Economic Overview:

Inflation Stability — Headline inflation recorded its second-lowest reading since March 2021, indicating economic steadiness.

Strong Retail Sales — Despite expectations, November saw a surge in retail sales, with the automotive sector outperforming others, marking significant YOY growth since February.

Near and Afar — Housing costs rose, but transportation costs dropped, influenced by a significant decrease in fuel prices.

🛞 Auto Trends:

Tighter Auto Credit — Access to auto credit continues to decline with a noticeable tightening across various lending channels.

Wholesale Market — Depreciation slowed last week with 3-year-old models dropping only 0.1%.

New Cars — Sales finished the month strong, and days’ supply dropped to 53.

Used Cars — The sales rate rebounded after Thanksgiving week, and days’ supply dropped to 44 days.


EVs — Global sales in November saw a significant increase both monthly (+9.54%) and year-over-year (+27.15%). The BEV market currently makes up 7.9% of all new car sales in America.

👀 Looking Ahead…

• Minimum wage will increase in 22 states beginning January 1st, 2024, with three more states and Washington, D.C. set to raise their wages later in the year.
• Analysts suspect the Fed will cut rates by nearly 3 percentage points, leading to cheaper borrowing options and potentially stimulating consumer spending.
• Research from J.P. Morgan shows only a modest risk of a global recession in the near term. For the S&P 500, they estimate an earnings growth of 2–3% next year.