Stock Market Update

The stock market is on track for a flattish opening after a sizable batch of economic data this morning. 

Total retail sales were unchanged month-over-month in December (Briefing.com consensus: 0.4%) following a 0.6% increase in November. Excluding autos, retail sales were also unchanged month-over-month (Briefing.com consensus: 0.4%) following a downwardly revised 0.4% increase (from 0.5%) in November.

The key takeaway from the report is that spending on goods was down across most discretionary categories following some decent-sized gains in November. That will foment some concern about consumer spending fatigue at the end of last year, which of course included the holiday shopping period.

Separately, the Q4 Employment Cost Index increased 0.7% (Briefing.com consensus: 0.8%), seasonally adjusted, for the three-month period ending in December 2025, following a 0.8% increase for the three-month period ending in September 2025.

The key takeaway from the report is that there was some moderation in employment costs on a year-over-year basis that will help temper inflation worries.