Morning View
U.S. GDP grew +4.4% annualized in the third quarter of 2025
International
In the United States, GDP (Gross Domestic Product) data for the third quarter of 2025 was released yesterday. The economy grew at an annualized rate of +4.4% in the quarter, slightly above the expected +4.3%. In turn, November PCE (Personal Consumption Expenditures) inflation data was also released, standing at +0.2% monthly and +2.8% year-on-year, in line with forecasts. The core measurement, which excludes food and energy, stood at the same values, also in line with analysts' consensus expectations.
The main US stock indices advanced again yesterday. The S&P 500 rose +0.5%, while the Nasdaq rose +0.9% and the Dow Jones +0.6%. So far in 2026, the indices have accumulated variations of +1.0%, +0.8%, and +2.8%, respectively.
Meanwhile, US Treasury bond yields did not change significantly. The yield on the 1-year bond remained at 3.52%, while yields on the 3-year bond rose from 3.66% to 3.68%. Finally, the 10-year bond closed with a yield of 4.23%, slightly below Wednesday's 4.24%.
Finally, the Bank of Japan published its decision yesterday regarding the benchmark interest rate, which remained unchanged at 0.75%. December inflation data was also released, coming in at +2.1% year-on-year, slightly below the expected +2.2%. The core measurement, which excludes fresh food, was in line with analysts' consensus expectations at +2.4% year-on-year.
Source: PUENTE Hnos, Bloomberg
The main U.S. stock indexes rebounded yesterday
International
In the United States, the main stock indices rebounded yesterday after US President Donald Trump announced a “framework for a future agreement” on Arctic security from Davos, following a meeting with NATO Secretary General Mark Rutte. As a result, the president canceled the 10% tariffs on European countries that were due to come into effect on February 1. In this context, the S&P 500 rose +1.1%, while the Nasdaq and Dow Jones rose +1.2% each.
Meanwhile, US Treasury bond yields moved in different directions. While the yield on the 1-year bond rose from 3.52% to 3.53%, yields on the 3-year bond fell from 3.68% to 3.66%. Finally, the 10-year bond closed with a yield of 4.25%, down from 4.29% on Tuesday.
Today, the US is expected to release its third-quarter GDP figures for 2025, which are projected to be +4.3% annualized, up from +3.8% in the previous period. Likewise, PCE (Personal Consumption Expenditures) inflation data for November will be released, with an estimated increase of +0.2% monthly and +2.8% year-on-year in both the general measurement and the core measurement, which excludes food and energy.
This morning, Procter & Gamble and GE Aerospace presented their corporate results. P&G reported revenues of USD 22.2 billion, slightly below the USD 22.34 billion forecast, and earnings per share (EPS) of USD 1.88 compared to the USD 1.86 estimated by the market. GE Aerospace reported revenue of $11.87 billion (exceeding the expected $11.2 billion) and EPS of $1.57 (vs. $1.43 projected). Finally, Intel's results are expected at the close of today's session, with analysts forecasting revenue of $13.41 billion and EPS of $0.0787.
Source: PUENTE Hnos, Bloomberg
