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Powell said it's time to cut: Will the market go wild?
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Wall Street Today | Winning Streak For Equities While Investors Await DNC and Fed News

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Moomoo Recap US joined discussion · Aug 19 15:35
Wall Street Today | Winning Streak For Equities While Investors Await DNC and Fed News
Indexes hit a five-day winning streak to start the week Monday as the Democratic National Convention began. But instead of any stock market-related news from the Harris campaign, investors focused on the wait for Federal Reserve Chair Jerome Powell to speak about monetary policy at Jackson Hole on Friday. Investors are hoping for a hint about rate cuts.
The S&P 500, Dow Jones Industrial Average, and Nasdaq were up 6-8% overall in the past ten sessions, rebounding from a red July in the hopes that the Federal Reserve will signal rate cuts soon.
Wall Street Today | Winning Streak For Equities While Investors Await DNC and Fed News
Just past the close at 4 pm ET the $S&P 500 Index (.SPX.US)$ climbed 0.97%, the       $Dow Jones Industrial Average (.DJI.US)$ climbed 0.58%, and the   $Nasdaq Composite Index (.IXIC.US)$ climbed 1.32%.
MACRO
Investors are hoping to see some long-awaited changes to monetary policy this week, after last week's economic data hinted that inflation might finally have slowed down towards the Fed's 2% goal.
The annual Jackson Hole Symposium is held from August 22 to 24 in Wyoming. Fed Chair Jerome Powell will speak on the economic outlook at 10:00 a.m. ET on August 23. Markets expect him to provide monetary policy signals, potentially setting the stage for a rate cut in September.
Last year at the event Powell said the US central bank is prepared to raise interest rates further if needed and intends to keep borrowing costs high until inflation is on a convincing path toward the Fed's 2% target.
"Although inflation has moved down from its peak — a welcome development — it remains too high," Powell said in a speech Friday at the US central bank's annual conference in Jackson Hole, Wyoming. "We are prepared to raise rates further if appropriate, and intend to hold policy at a restrictive level until we are confident that inflation is moving sustainably down toward our objective."
SECTORS
Oil futures $Crude Oil Futures(NOV4) (CLmain.US)$  fell 2.25% Monday, their lowest position in two weeks. Marketwatch attributed the decline to tensions in the Middle East. Natural gas climbed 5% as the summer comes to a close in the U.S.
Wall Street Today | Winning Streak For Equities While Investors Await DNC and Fed News
Traders were watching the DNC, and speculating on the outcome of the Jackson Hole speach form Powell. according to comments from portfolio manager Colin Cieszynski to MarketWatch
MOOVERS
Estée Lauder Cos.   $Estee Lauder (EL.US)$ fell about 2% Monday after beating estimates for sales and EPS, but reporting it had begun a search for a new CEO. CEO Fabrizio Freda plans to retire at the end of fiscal year 2025 after 16 years in the job.
$HP Inc (HPQ.US)$  shares fell nearly 4%, after a Morgan Stanley analyst downgrade.
Zim Integrated Shipping   $ZIM Integrated Shipping (ZIM.US)$ rose 16% Monday after the company lifted its guidance, driven by continued supply pressure from the Red Sea crisis, and achieved a record high level of carried volume for the second quarter. The firm swung a $213M loss in Q1 to a Q2 profit of $373M profit.
$Advanced Micro Devices (AMD.US)$ was leading AI semiconductor news after the firm agreed to pay $5B for data-center equipment designer ZT Systems. Wall Street Journal reported the firm is using a 75% cash/25% stock ratio, about $3.375 billion in cash and nearly 8.34 million shares valued at $1.125 billion, or around $134.96 apiece, well below the current trading p[rice of $150.
$Palo Alto Networks (PANW.US)$ shares rose 3% in extended trading after the cybersecurity company reported fiscal fourth-quarter earnings and revenue that beat analysts' estimates and provided a rosier-than-expected outlook.
$Fabrinet (FN.US)$ shares advanced 8.9% in extended trading after the company reported quarterly earnings and revenue that beat analysts' estimates. The company reported adjusted EPS of $2.41 per share which beat the analyst consensus estimates. Quarterly sales rose 15% to $753.261 million, surpassing consensus estimate of $732.220 million by 2.87 percent.  
Investors are watching for a few retail-focused firms this week.   $Lowe's Companies (LOW.US)$ arrives Tuesday,   $Target (TGT.US)$  on Wednesday. There are tech firms aswell, with   $Zoom Video Communications (ZM.US)$ and Wednesday.  
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Word from the herd: Mooers, what are you watching?
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