A Little Less Punch in an Awfully Big Bowl
· Citing progress in the labor market and more balanced risks to the outlook, the FOMC has decided to begin scaling back the pace of its asset purchases in January. The Fed will reduce its monthly purchases by $10 billion to $75 billion.
· Industrial production rose 1.1 percent in November. Solid gains were seen across manufacturing, mining and utilities over the past month.
· Housing starts in November rose to their highest level in five years, while builder confidence rebounded in December. Existing home sales look slightly shakier, but the underlying details show the housing recovery remains intact.