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Stocks slid on Friday because bad economic numbers are bad, no matter how you look at it. Employment numbers missed their mark, which is bad, but perhaps not bad enough for the concession prize of a -50 basis-point cut.

Stocks had a mixed close yesterday after a private US jobs figure missed estimates igniting further fears that an economic downturn is looming on the horizon. Weekly jobless claims came in more or less on expectation further clouding the market’s perception of labor market strength.

Beige book tells a story of forming clouds on the horizon

Stocks took a beating yesterday after a key manufacturing gauge disappointed… again. Chips were hit hard because they are an easy target – taking profits is not as hard as taking losses when the market is in turmoil.

Stocks traded higher on Friday with a last-minute surge sealing the deal as traders rebalanced portfolios on the final trading day of the month. Core PCE inflation pulled back further than expected, further clearing the path for rate cuts later this month.

Stocks had a mixed close yesterday because… well, because things are better than traders thought with the economy. With NVIDIA’s earnings out of the way, traders turned their focus to the OTHER important economic numbers in today’s PCE inflation number and next week’s monthly jobs data.