CME FedWatch Shows 63% Probability Bet on 50bps Cut, 37% for 25bps at Sept 18 Fed Meeting

Morgan Stanley Comments on FOMC Action

Morgan Stanley Comments on FOMC Action

The analyst comments "The press conference solidified our views that a string of 25bp cuts from here is the best forecast. The Fed still sees the economy as healthy and labor market as solid, but risks to inflation have come down while risks to the labor market have risen. To show their commitment to not falling behind the curve and confidence in inflation's progress, Powell asserted a large first move was warranted. Powell has stressed and proven with this rate cut that the FOMC is willing to move gradually or make bigger moves... More

ING Comments on FOMC Action

SPDR S&P 500 ETF Trust (NYSE: SPY)

The analyst comments "There was a sense in economist circles that the majority of Fed officials would be reluctant to take such bold action in an environment where the economy is growing at a 2.5-3% rate, equities are at an all-time high, inflation is above target and unemployment is low at just 4.2%. With no... More

TD Cowen Comments on FOMC Action

TD Cowen Comments on FOMC Action

The analyst comments "Federal Reserve Chair Jerome Powell held a press conference today at 2:30 PM ET following the FOMC meeting. We highlight his financial policy comments: Asked about Basel 3 Endgame, Powell said he supports the changes to the capital regime that Fed Vice Chair Michael Barr previewed last week. He emphasized that this is not the final word as the regulators will assess the comments before finalizing the rule in the first half of next year. He also said this is an interagency effort. Powell said there... More

Current CME FedWatch Shows 59% for 475-500bps, 41% for 500-525bps

Current CME FedWatch Shows 59% for 475-500bps, 41% for 500-525bps

Current CME FedWatch Shows 61% for 475-500bps, 39% for 500-525bps

Current FedWatch Shows 61% for 475-500bps, 39% for 500-525bps

Traders See 50Bp September Fed Rate Cut Likelier Than 25Bp - Bloomberg

Traders See 50Bp September Fed Rate Cut Likelier Than 25Bp - Bloomberg

S&P inches up, Nasdaq declines as tech weighs ahead of Fed decision

By Chuck Mikolajczak

NEW YORK (Reuters) -The S&P 500 eked out a slight gain in a subdued session while the Nasdaq fell on Monday, weighed down by a drop in technology stocks as investors assessed the likelihood of an upsized rate cut from the U.S. Federal Reserve this week.

The S&P technology index, the best performer of the 11 major S&P sectors this year, lost 0.95% as the session's biggest decliner.

Apple dropped 2.78% as the biggest drag to both the benchmark S&P index and Nasdaq Composite, after an analyst at TF International Securities... More

Global S&P Futures mixed in premarket

Global S&P Futures mixed in premarket, Nikkei mixed, DAX mixed, WTI Crude oil recently at $69, natural gas mixed, gold at $2637

How can investors deal with geopolitical risks?

As Ukraine continues to hold onto parts of the Kursk region in Russia following last months offensive, and ceasefire talks between Hamas and Israel remain fraught with challenges, investors must contend with a high level of uncertainty and risk.

In a note to clients, UBS has advised against exiting risk assets in response to these risks, and instead recommends strategies that can improve the resilience of... More

Goldman Sachs still sees 25 basis point Fed cut next week

(Reuters) - Goldman Sachs on Friday said it continues to call for a quarter percentage point easing at next week's Federal Open Market Committee meeting, which contrasted with news stories about refreshed speculation of a more aggressive cut.

Former New York Federal Reserve President Bill Dudley said on... More

Wells Fargo Sees 25bps Easing by Fed next Week, 'we now expect the committee to launch this easing cycle with a tamer 25 bps cut'

Wells Fargo Sees 25bps Easing by Fed next Week

The analyst comments "Last weeks employment report offered a little bit of something for both doves and hawks speculating on the outcome of next weeks Fed meeting. An acceleration in hiring in August coupled with downward revisions to prior data left the door open to either a 25... More

Evercore Sees 'Real Shot' of 50bps Easing by Fed Next Week, 'We believe a “dovish 25” does not really exist'

SPDR S&P 500 ETF Trust (NYSE: SPY)

The analyst comments "We reaffirm that we see a real shot of a Fed 50bp cut in September, and while we carefully assess that we still do not have the evidence to go clearly odds-on, our gut instinct is it may well be heading that way, and we are alert to unfolding dynamics that could move 50bp more clearly odds-on in the period ahead. Already market action post Timiraos WSJ / Smith FT through time of writing (3.30pm ET Friday) makes 50 incrementally more likely,... More

BofA Still Sees 25bps Easing by Fed Next Week

BofA Still Sees 25bps Easing by Fed Next Week.

The analyst comments "Next week, the Fed is widely expected to end the longest hold after a hiking cycle in its history. We look for the Fed to cut rates by 25bp, which should kick off a series of... More

JPMorgan Sees 50bps Easing by Fed Next Week

JPMorgan Sees 50bps Easing by Fed Next Week.

The analyst comments "We believe what the Fed should do next week is clear: recalibrate the policy rate 50bp lower to adjust for the shifting balance of risks. What the FOMC will do is less clear, but were sticking... More

Nvidia's stock market dominance fuels big swings in the S&P 500

By Saqib Iqbal Ahmed

NEW YORK (Reuters) -Nvidia's huge stock rally is still exerting an outsized influence over the S&P 500 index, reinforcing concerns that broader markets could be hurt if the chipmaking giant's fortunes turn.

This year's 140% surge in shares of Nvidia, whose chips are seen as the gold standard in artificial intelligence applications, has accounted for about a quarter of the S&P 500's 17% gain.

Nvidia showed its powerful hold over Wall Street on Wednesday, when the stock's 8.2% rally helped drive the S&P 500 to its biggest intraday upswing in nearly two years. The... More

Goldman Sachs Still Sees 25bps Easing by Fed Next Week, Sees 25bps in Nov and 25bps in Dec, Total Cuts by Y/E of 75bps

Goldman Sachs Still See 25bps Easing by Fed Next Week, Sees 25bps in Nov and 25bps in Dec, Total Cuts by Y/E of 75bps

The analyst comments "Jan Hatzius reiterates our view that the US labor market is slowing but not lurching towards recession in a fresh Global... More

Cit Lowers Easing Expectation to 25bps by Fed Next Week, Sees 50bps in Nov and 50bps in Dec, Total Cuts by Y/E of 125bps

Cit Still Sees 25bps Easing by Fed Next Week, Sees 50bps in Nov and Dec, Total Cuts by Y/E of 125bps

The analyst comments "Labor market data show an economy sliding toward recession with the rise in the unemployment rate likely to accelerate in coming months. We... More