Solid job gains in November, but wages disappoint - Wells Fargo

"Hiring was solid in November with employers adding 228,000 new jobs. The unemployment rate held steady at 4.1 percent, while wage growth rose less than expected," Wells Fargo Research Team noted on Friday.

Key quotes

The ISM non-manufacturing index fell 2.7 points in November, but remained firmly in expansion territory at 57.4.

Despite total factory orders slipping 0.1 percent in October, core capital goods orders signaled equipment spending is likely to remain strong in Q4.

The trade balance widened by $3.8 billion in October and points toward trade being a drag on GDP growth in Q4.

Global Review

Economic Expansions in Europe Remain Intact

Data released this week showed that the drivers of real GDP growth in the Eurozone in Q3 were broad based, which enhances the self-sustaining nature of the expansion. Despite some recent weakness in German industrial production, the expansion in the Eurozone appears to have remained intact in the fourth quarter.

Growth in the British economy appears to have remained positive in the fourth quarter as well. However, as long as Brexit uncertainties linger, the outlook for the U.K. economy will remain clouded.