|Day's range||27,145.78 - 27,343.00|
|52-week range||21,712.53 - 27,398.68|
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.
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.
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.
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.
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.”
“Take swift action” and “keep interest rates lower for longer” may mean to some that a 25-basis point rate cut is a done deal, but to others it means “be aggressive”. Therefore, I have to conclude that the chances of a half-a-point rate cut may increase over the near-term, which could be supportive for gold prices.
Based on today’s price action and the current price at 27207, the direction of the September E-mini Dow Jones Industrial Average into the close is likely to be determined by trader reaction to the downtrending Gann angle at 27205.
Based on the early price action and the current price at 27302, the direction of the September E-mini Dow Jones Industrial Average the rest of the session is likely to be determined by trader reaction to the uptrending Gann angle at 27277.
FT subscribers can click here to receive Market Forces every day by email. Reflation is what central banks and those holding risk assets want to see and that's why a rate cut looms from the Federal Reserve at the end of the month. Glancing at inflation break-evens — bond market measures of inflation expectations — does show some progress on that front.
On the day the U.S. released better than expected retail sales data, and just days after the release of stronger than expected consumer inflation data, President Trump made comments and China made a move that supported Powell’s case for “uncertainties” driving interest rates lower.
U.S. stocks were mixed Tuesday afternoon as investors digested a wave of signals from officials over U.S.-China trade relations and monetary policy, along with an influx of corporate earnings results and economic data.