macro.

Macro Econ 2025-11-30

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Economics Report

FED Data for Unemployment Rate:

The percentage of people in the labor force who are jobless and actively seeking work.

Latest Value: 4.4 on 2025-09-01

1 year data range: 4.0 to 4.4

2 year data range: 3.7 to 4.4

3 year data range: 3.4 to 4.4

FED Data for All Employees, Total Nonfarm Payrolls:

The total number of paid workers in the U.S., excluding farm employees, government, and non-profits. A key measure of job growth.

Latest Value: 159626.0 on 2025-09-01

1 year data range: 158942.0 to 159626.0

2 year data range: 156930.0 to 159626.0

3 year data range: 154336.0 to 159626.0

FED Data for Advance Retail Sales:

A measure of the total sales at retail stores and food service establishments. A key indicator of consumer spending strength.

Latest Value: 733258.0 on 2025-09-01

1 year data range: 711461.0 to 733258.0

2 year data range: 680456.0 to 733258.0

3 year data range: 651763.0 to 733258.0

FED Data for Labor Force Participation Rate:

The percentage of the working-age population that is either employed or actively looking for work. It shows how many people are engaged in the labor market.

Latest Value: 62.4 on 2025-09-01

1 year data range: 62.2 to 62.6

2 year data range: 62.2 to 62.7

3 year data range: 62.2 to 62.8

FED Data for Personal Savings Rate:

The percentage of disposable personal income that people save (i.e., don't spend).

Latest Value: 4.6 on 2025-08-01

1 year data range: 4.3 to 5.7

2 year data range: 4.3 to 6.4

3 year data range: 4.2 to 6.4

FED Data for Consumer Price Index:

Measures the average change over time in the prices paid by urban consumers for a basket of goods and services. A primary gauge of inflation.

Latest Value: 324.37 on 2025-09-01

1 year data range: 317.603 to 324.368

2 year data range: 308.735 to 324.368

3 year data range: 298.808 to 324.368

FED Data for Core PCE Price Index:

The Federal Reserve's preferred inflation measure. It tracks price changes for consumer goods and services excludingthe volatile food and energy categories.

Latest Value: 126.7 on 2025-08-01

1 year data range: 124.196 to 126.705

2 year data range: 120.592 to 126.705

3 year data range: 116.952 to 126.705

FED Data for Producer Price Index:

Measures the average change in selling prices received by domestic producers for their output. An indicator of inflation at the wholesale level.

Latest Value: 262.34 on 2025-09-01

1 year data range: 253.423 to 262.363

2 year data range: 249.866 to 262.363

3 year data range: 249.866 to 262.363

FED Data for Federal Funds Effective Rate:

The interest rate at which banks lend to each other overnight. It is the primary tool the Federal Reserve uses to conduct monetary policy.

Latest Value: 4.09 on 2025-10-01

1 year data range: 4.09 to 4.48

2 year data range: 4.09 to 5.33

3 year data range: 4.09 to 5.33

FED Data for Fed's Assets:

The total size of the Federal Reserve's balance sheet. An increase indicates the Fed is adding liquidity to the financial system (e.g., via asset purchases/QE).

Latest Value: 6552419.0 on 2025-11-26

1 year data range: 6552419.0 to 6897485.0

2 year data range: 6552419.0 to 7739566.0

3 year data range: 6552419.0 to 8733787.0

FED Data for 10-Year minus 2-Year Yield Spread:

The difference between 10-year and 2-year Treasury note yields. When it turns negative (inverts), it is a closely watched signal of a potential recession.

Latest Value: 0.55 on 2025-11-28

1 year data range: 0.02 to 0.67

2 year data range: -0.53 to 0.67

3 year data range: -1.08 to 0.67

FED Data for 10-Year minus 3-Month Yield Spread:

The difference between 10-year and 3-month Treasury yields. Also a powerful recession indicator when it inverts.

Latest Value: 0.14 on 2025-11-28

1 year data range: -0.32 to 0.42

2 year data range: -1.65 to 0.42

3 year data range: -1.89 to 0.42

US Dollar Index: 99.48

Current VIX: 16.35

Buffet Indicator as of 2025-04-01: 224.16%

SOFR minus IORB in the past 14 days:

A positive spread (SOFR > IORB) indicates stress or scarcity of cash in the overnight lending market. A near-zero or negative spread (SOFR ≤ IORB) indicates ample liquidity.

DateValue
2025-11-260.150
2025-11-250.110
2025-11-240.060
2025-11-210.030
2025-11-200.010
2025-11-190.010
2025-11-180.040
2025-11-170.100
2025-11-140.050
2025-11-130.100
2025-11-120.080
2025-11-11nan
2025-11-100.050
2025-11-070.030

SPY Technical Report

Price Distribution for SPY

25th percentile in the past 20 days: 667.96

Lowest price in the past 20 days: 650.85

Price with moderate low (closest to -0.5) z-score in the past 20 days: 664.48

Price with low (closest to -1.0) z-score in the past 20 days: 655.86

Price below mean by one standard deviation: 658.57

Price below mean by two standard deviations: 648.68

Price Range for SPY

SPY current price: $683.39

5-Day Range: $650.85 - $683.67

50-Day Range: $650.85 - $689.70

200-Day Range: $479.05 - $689.70

Technical Indicators Summary for SPY as of 2025-11-30

MACD values for SPY in the past 14 days:

Datehistogrammacdsignal
2025-11-280.820.60-0.22
2025-11-26-0.08-0.50-0.42
2025-11-25-1.11-1.52-0.41
2025-11-24-2.19-2.32-0.13
2025-11-21-3.09-2.670.42
2025-11-20-3.28-2.091.19
2025-11-19-2.67-0.652.01
2025-11-18-2.520.162.68
2025-11-17-1.861.453.31
2025-11-14-1.262.523.77

EMA values for SPY with a window of 50 days:

DateValue
2025-11-28667.24
2025-11-26666.58
2025-11-25666.04
2025-11-24665.68
2025-11-21665.55
2025-11-20665.82
2025-11-19666.36
2025-11-18666.51
2025-11-17666.77
2025-11-14666.82

EMA values for SPY with a window of 200 days:

DateValue
2025-11-28628.79
2025-11-26628.25
2025-11-25627.73
2025-11-24627.25
2025-11-21626.84
2025-11-20626.51
2025-11-19626.25
2025-11-18625.89
2025-11-17625.54
2025-11-14625.14

RSI values for SPY in the past 14 days:

DateValue
2025-11-2859.03
2025-11-2656.76
2025-11-2553.78
2025-11-2449.42
2025-11-2141.51
2025-11-2035.20
2025-11-1941.68
2025-11-1839.05
2025-11-1743.00
2025-11-1448.06

Money Flow Index (MFI) for SPY over the last 10 trading days:

Latest MFI: 39.28

DateMFIMoney Flow RatioTypical Price
2025-11-2839.280.65682.52
2025-11-2632.260.48679.37
2025-11-2531.630.46671.90
2025-11-2430.160.43666.79
2025-11-2129.930.43658.14
2025-11-2030.600.44659.99
2025-11-1933.290.50662.91
2025-11-1831.860.47660.35
2025-11-1733.150.50667.18
2025-11-1441.770.72670.28

Bollinger lower and higher band for SPY, calculated for the past 20 days

Number of Standard Deviations: 2

Latest Close: 683.39

Latest SMA: 672.9

Latest Bollinger Lower Band: 654.41

Latest Bollinger Higher Band: 691.4

ADX for SPY, calculated for the past 14 days

ADX: 10.62

Volume and volume ratio for SPY:

Last 30 days average volume: 82410264.07

Today's volume: 49212030.0

Volume Ratio (Today / Avg Volume in the past 30 days): 0.6

Average VWAP in the past 30 days: 672.96

Support levels for SPY (last 200 trading days):

Last Low: 575.6 on 2025-05-23 (UTC)

Last High: 689.7 on 2025-10-29 (UTC)

Fibonacci Levels: 23.6%: 640.64, 38.2%: 610.28, 50.0%: 585.75, 61.8%: 561.22, 78.6%: 526.29

Resonance Supports: 50.0%: 585.75, 61.8%: 561.22

Short interest data for SPY in the past 5 months:

Report DateAvg Daily VolumeDays to CoverShort Interest
2025-11-14793185331.49118178899
2025-10-31765226281.42108765577
2025-10-15784771311.2597853277
2025-09-30808506981.41114193765
2025-09-15716991001.56111615053
2025-08-29628573551.81113532927
2025-08-15723240721.61116795786
2025-07-31704064271.59112116988
2025-07-15634973681.78113295755
2025-06-30807435291.45116685530

Final Report

1. Holistic Macroeconomic Summary

The U.S. economy exhibits clear signs of a late-cycle expansion, characterized by a resilient but cooling labor market and a consumer under moderate pressure. The Growth Pulse is softening: the Unemployment Rate has risen to 4.4% from a 3-year low of 3.4%, and while Nonfarm Payrolls and Retail Sales are at cycle highs, their growth momentum is slowing. The Labor Force Participation Rate remains stagnant, and the Personal Savings Rate of 4.6% is near the lower end of its 3-year range, suggesting consumers are depleting buffers to maintain spending.

On the Inflation & Fed Stance front, disinflation is progressing but remains incomplete. The Core PCE (126.7) and CPI (324.37) continue to make new highs, albeit at a slower pace. The Federal Reserve has begun to ease, with the Fed Funds Rate at 4.09% down from 5.33%, and the balance sheet is contracting (Assets at $6.55T from a $8.73T peak), indicating a shift from quantitative tightening towards a more neutral stance.

The Market Context is one of elevated valuation and cautious optimism. The Buffett Indicator at 224% signals extreme overvaluation. However, the yield curve has steepened out of inversion (10Y-2Y at 0.55%), a positive signal, and the VIX at 16.35 reflects subdued fear. The recent positive SOFR-IORB spread suggests some overnight funding stress, but it has moderated from its peak.

2. Risk Assessment with Severity Ratings

  • Risk: Extreme Equity Market Valuation

    • Severity: High
    • Rationale: The Buffett Indicator at 224.16% is deeply into historical overvaluation territory, leaving the market vulnerable to a sharp correction.
  • Risk: Deteriorating Labor Market

    • Severity: Medium
    • Rationale: The Unemployment Rate has increased by a full percentage point from its 3-year low, signaling a potential inflection point in the economic cycle.
  • Risk: Consumer Exhaustion

    • Severity: Medium
    • Rationale: The Personal Savings Rate is low (4.6%) while Retail Sales are at a peak, indicating spending may be unsustainable without a rebound in income or savings.
  • Risk: Stubbornly High Inflation

    • Severity: Medium
    • Rationale: Core PCE and CPI are still making new cycle highs, which could limit the Fed's ability to cut rates aggressively if inflation proves sticky.

3. SPY Recommendation & Trade Setup

  • Recommendation: Hold
  • Time Horizon: Short- to Medium-Term (1-6 months)
  • Key Technical Levels:
    • Critical Support: 50-day EMA (~667.24) and the 20-day Bollinger Lower Band (654.41). A break below 650.85 (recent low) would be a significant bearish signal.
    • Next Resistance: The all-time high and Bollinger Upper Band at ~689.70 - 691.40.
  • Brief Rationale: The technical picture shows SPY recovering from oversold conditions (RSI rebounding from ~35) and the MACD histogram turning positive, suggesting near-term momentum has improved. However, this occurs against a late-cycle macro backdrop with high valuations, recommending a cautious "Hold" stance rather than new aggressive buying. The path of least resistance is likely range-bound between 655 and 690.

4. Investor Implications

  • For Tactical Traders: A range-bound strategy is preferred. Traders should look to sell into strength near resistance (~689) and buy on dips towards key support (665-655), using indicators like RSI and Bollinger Bands for timing. The low ADX (10.62) confirms a lack of a strong trend.
  • For Long-Term Investors: Maintain discipline and rebalance. This is not the time for speculative deployment. Investors should stick to their asset allocation plans, trim winners if positions are overweight, and dollar-cost average any new capital cautiously. Holding a slightly elevated cash position is prudent to wait for better entry points.