Next Friday marks the end of August. This week saw a lot of range bound days after a 519,25 point monster pump on ES, but the bears didn't have much success trying to bring the market down. Every freaking dip was bought. As of Friday's Close, SPX is up 2,03 % on the month. A green August typically close at top of the monthly range. My guess is this August will close green. Maybe not at top of the range, but I think we'll make a push towards all time highs sometime next week and either stay there or sell off a bit into month end, but still closing green. September is one of the weaker month of the year. Down an average of - 5.72 % over the last 4 years (all 4 being red with biggest being 2022 down -9.34 % on the Close). So, we might have to wait for September for any potential (!) substantial sell down. Thoughts/comments?
The market might question why Powell suddenly changed his stance. After all, he's been pretty resistant to rate cuts up till now. Does he know something that the market doesn't? Just how bad is the economy exactly? These are some of the things Wall Street will be mulling over this weekend.
Vague. The market's not the economy. And who cares about Wall Street? The Norwegian Pension Fund and Japan will be buying US stocks next week. Just kidding. Or maybe not. Or maybe.
Wait. What? Are you saying there is a significant international money flow that affects pricing of the domestic US stock market?
There's always someone selling or buying. Whenever the market's rallying and nobody understands why, I always jokingly say to myself it's probably the Norwegian Government Pension Fund that's buying stocks with a 10 + year horizon while everyone's trying to make sense of the latest economic data. LOL.
Israel Sends 100 Jets to Hit Lebanon in Pre-emptive Strike Military says it acted after seeing preparations for an extensive attack by Hezbollah https://www.wsj.com/world/middle-east/israel-begins-striking-targets-in-lebanon-089bb210
Sell the news is likely after the rate cut IMO, especially if the cut is just 25bps. Risk-aversion also ramps up into elections.