|Day's range||27,145.78 - 27,342.96|
|52-week range||21,712.53 - 27,398.68|
It’s a big week ahead for the markets. Earnings, economic data, Iran, trade war chatter, and the ECB are all in focus.
If there is volatility, then it will likely remain centered around whether the Fed cuts 25 or 50-basis points. Some investors continue to say that the Fed must take the aggressive route because policymakers have to convince Wall Street that they are truly serious about providing the firepower needed to continue the current 10-year economic expansion.
Powell and Williams are on the same page. They both see the need for a rate cut at the end of July, and they both feel the Fed has to act quickly to support and attempt to steer the economy in the right direction. Their comments last week also indicate that they are both willing to override the models.
Wall Street’s main stock indexes topped out and started their session-long retreat following a report that the Federal Reserve plans to cut interest rates by only a quarter percentage point at the end of the month.
Wall Street stocks finished a down week on a tepid note, falling after news of a tanker attack in the Middle East even as Boeing and oil-linked shares rallied. Stocks had been in positive territory through early afternoon, but fell decisively as Iran's Revolutionary Guards announced they had confiscated a British tanker in the strategic Strait of Hormuz -- a move that prompted swift criticism from the United States and Britain. The fall also roughly coincided with a Wall Street Journal report that the Federal Reserve is targeting a 25-basis point interest rate cut, rather than the larger 50-basis point cut that investors have thought might also be enacted.
St. Louis Fed President James Bullard said he would take the job of Fed chair if offered, but said he has not been called on to do so.
Investing.com – What started as a solid stock market rally Friday was mostly wiped out by rising tensions in the Persian Gulf.
Wall Street's main indexes fell on Friday following a report that the Federal Reserve plans to cut interest rates by only a quarter-percentage point at the end of the month. The benchmark S&P 500 erased earlier marginal gains after a Wall Street Journal report on the Fed's plans. According to the report, while the U.S. central bank is not prepared to make a bigger 50-basis-point cut, it may make further rate cuts in the future given concerns about a decline in global economic growth and uncertainty about trade.
Global equities firm as rate cut hopes are stoked but traders are cautioned not to expect too much from the FOMC.
The major U.S. stock indexes are expected to open higher based on the pre-market futures trade, however, the markets are retreating from early highs. Buyers came in early, following through to the upside after Thursday’s late rally, but gains were dampened after a New York Fed spokesperson downplayed the chances of an aggressive rate cut.
Investing.com – Wall Street jumped on Friday as strong earnings from Microsoft (NASDAQ:MSFT) helped lift tech stocks, while comments from New York Federal Reserve President John Williams boosted hope of a half-point rate cut at the end of the month.
Recently I have been trying to show all the different angles to look at and analyze the US stock market and the precious metals sector. At the end of this report, I will share with you several crucial angles and charts you must see for our self. There are several very intriguing things unfolding right now which are interconnected in ways you may not have known.
The price of oil rose on Friday after the U.S. said it had destroyed an Iranian drone near the Persian Gulf, where a lot of the world's oil is shipped through. Stock markets were largely stable as investors monitor earnings and the ongoing trade talks between China and the U.S. Energy prices were ratcheted higher after U.S. President Donald said a U.S. warship had downed an Iranian drone that had been threatening.
Stocks in major Asia Pacific markets made strong gains on Friday, as comments from a U.S. Federal Reserve official led to rising expectations the central bank could ease monetary policy more than expected.
Investors will get a pulse of the current state of the transportation industry when Kansas City Southern reports quarterly results ahead of the opening bell on Friday.
The latest batch of results are providing a better picture of the economy after months of ups and downs in the market because of policy concerns and lingering trade disputes. "We've been watching the game and now we actually get to see the scorecard," said Brad McMillan, chief investment officer for Commonwealth Financial Network.
Williams finished by saying that when faced with low rates and slowing growth, the best strategy is to “take swift action” and “keep interest rates lower for longer.”