How Things Stand in the Market as of Sunday, September 1st, 2024

Good Morning Investors & Traders!

The indexes closed mixed last week in reaction to NVIDIA’s (NVDA) earnings report, the July Personal Income and Spending Report, PCE prices inflation reports, and results from leading retailers and other high-profile technology companies. Though the Fed seems generally pre-disposed to lowering interest rates, a 25-basis points rate cut is fully priced in, according to the CME FedWatch Tool, but the probability of a 50-basis points rate cut has been trimmed to 30.5% Friday from 34.0% Thursday. With the market in a quandary as to where things are headed from here, some caution is advised. A move by the Nasdaq to higher ground, and especially above the 8000 level would provide more relief. Next week’s marquee event is Friday’s jobs report for August, made all the more import due to the Fed’s fixation on the jobs number not being too high, but not too low. The market will be closed Monday for Labor Day.