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U.S. Industrial Production Unexpectedly Dips 0.2% In November

Gold Holds Steady In Lackluster Trade

Gold steadied in holiday-thinned trading on Thursday as traders awaited more U.S. economic data for directional cues.

Spot gold edged up 0.1 percent to $1,816.08 per ounce, while U.S. gold futures were virtually unchanged at $1,824.95.

The U.S. dollar weakened on improved risk sentiment after Chinese authorities promised to implement measures to boost growth and property market next year.

China’s State Council, People’s Bank of China and the country’s top securities regulator conducted a study during last week’s economic policy meeting and committed to stimulate growth next year.

China will speed up construction of major projects and assist private firms and the platform economy, according to the meeting.

In economic releases, U.S. GDP data for the third quarter and weekly jobless claims for the week ended December 17 will be published in the New York session.

Canada Shares Might Open Lower

Bank of Canada might announce the new interest rates on Thursday. The regulator announced a 0.50 percent rate hike on December 7 and the current rate of 4.25 percent, stands highest since January 2008.

Around the globe, the Bank of England raised the rates by half a percentage to 3.5 percent on Thursday. European Central Bank also is expected to increase the interest rate by half a point.

Fears of inflation and rising energy prices have been a concern for investors. Meanwhile, Home prices are projected to be down by 15 percent by mid-2023. The Housing Starts date to be announced today is expected to be lower than the previous year. The consensus is 254,500.

On the economic front, the S&P/TSX 60 Index is expected to open lower. The index lost 40.66 percent.

The Royal Bank of Canada and TD Bank are trending down.

The U.S. market is expected to open lower on Thursday as investors are looking ahead to the Jobless Claims and other major economic announcements.

Asian markets finished lower on Thursday, as China’s Shanghai Composite Index lost 8 points or 0.25 percent to finish at 3,168.65. The Hang Seng Index of the Hong Kong Stock Exchange closed trading at 19,368.59.

The Japanese benchmark Nikkei 225 lost 105 points or 0.37 percent and finished trading at 28,051.70. Australia’s S&P/ASX200 closed trading at 7,204.80 after losing 47 points or 0.64 percent.

Pre-market Movers: ORIC, OCUP, TGS, MRTX, PARR…

The following are some of the stocks making big moves in Thursday’s pre-market trading (as of 06.30 A.M. ET).

In the Green

ORIC Pharmaceuticals, Inc. (ORIC) is up over 46% at $4.38
Ocuphire Pharma, Inc. (OCUP) is up over 20% at $3.18
Mirati Therapeutics, Inc. (MRTX) is up over 11% at $45.89
Brookfield Asset Management Ltd. (BAM) is up over 5% at $29.74
Gaotu Techedu Inc. (GOTU) is up over 4% at $4.00

In the Red

Transportadora de Gas del Sur S.A. (TGS) is down over 14% at $8.75
Par Pacific Holdings, Inc. (PARR) is down over 11% at $18.86
Sky Harbour Group Corporation (SKYH) is down over 9% at $2.55
Genie Energy Ltd. (GNE) is down over 7% at $9.51
Camber Energy, Inc. (CEI) is down over 6% at $3.64
Gorilla Technology Group Inc. (GRRR) is down over 3% at $4.58

CarMax Inc. Bottom Line Retreats In Q3, misses estimates

CarMax Inc. (KMX) announced a profit for third quarter that decreased from last year and missed the Street estimates.

The company’s bottom line came in at $37.58 million, or $0.24 per share. This compares with $269.44 million, or $1.63 per share, in last year’s third quarter.

Analysts on average had expected the company to earn $0.70 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter fell 23.7% to $6.51 billion from $8.53 billion last year.

CarMax Inc. earnings at a glance (GAAP) :

-Earnings (Q3): $37.58 Mln. vs. $269.44 Mln. last year.
-EPS (Q3): $0.24 vs. $1.63 last year.
-Analyst Estimates: $0.70
-Revenue (Q3): $6.51 Bln vs. $8.53 Bln last year.

Paychex Inc. Q2 Profit Increases, beats estimates

Paychex Inc. (PAYX) announced earnings for its second quarter that increased from the same period last year and beat the Street estimates.

The company’s bottom line came in at $360.3 million, or $0.99 per share. This compares with $332.1 million, or $0.91 per share, in last year’s second quarter.

Excluding items, Paychex Inc. reported adjusted earnings of $359.4 million or $0.99 per share for the period.

Analysts on average had expected the company to earn $0.95 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter rose 7.2% to $1.19 billion from $1.11 billion last year.

Paychex Inc. earnings at a glance (GAAP) :

-Earnings (Q2): $360.3 Mln. vs. $332.1 Mln. last year.
-EPS (Q2): $0.99 vs. $0.91 last year.
-Analyst Estimate: $0.95
-Revenue (Q2): $1.19 Bln vs. $1.11 Bln last year.

U.S. Industrial Production Unexpectedly Dips 0.2% In November

A report released by the Federal Reserve on Thursday unexpectedly showed a modest decrease in U.S. industrial production in the month of November.

The Fed said industrial production slipped by 0.2 percent in November after edging down by 0.1 percent in October. Economists had expected industrial production to inch up by 0.1 percent.

The unexpected dip in industrial production came as manufacturing output fell by 0.6 percent and mining output slid by 0.7 percent.

Meanwhile, a 3.6 percent spike in utilities output helped limit the downside amid unseasonably cold weather across much of the country.

“The 0.6% drop in manufacturing output last month matches the already-reported decline in retail sales and provides further evidence that the economy has lost some serious momentum,” said Andrew Hunter, Senior U.S. Economist at Capital Economics.

He added, “With weak global growth and the strong dollar compounding the domestic drag from higher interest rates, we suspect this weakness is a sign of things to come.”

The Fed also said capacity utilization in the industrial sector dipped to 79.7 percent in November from 79.9 percent in October. Economists had expected capacity utilization to edge down to 79.8 percent.

Capacity utilization in the manufacturing and mining sectors fell to 78.9 percent and 88.2 percent, respectively, while capacity utilization in the utilities sector rose to 74.4 percent.