Wall Street Updates: A New Yorker’s Take on Market Movements

Stocks and Market Indices

So, Monday wasn’t your typical humdrum. The S&P 500 closed up 0.21%, while the Dow Jones nudged up 0.25%, and the Nasdaq 100 took home a neat 0.46%. September futures for the S&P and Nasdaq showed promise too, ticking up 0.25% and 0.49% respectively.

Federal Reserve’s Antics

It’s not just the stocks that spiked; hopes are high for a more lenient Federal Reserve policy. The yield on that 10-year T-note? Hit a five-month low, settling down at 4.04%. The market’s already betting on a 25 basis points rate cut at next week’s FOMC meeting, with a 10% gamble on a 50-point slasher.

A Glimpse at Global Trade

China threw a wet blanket on global growth dreams with weaker-than-expected trade numbers. Exports scraped a +4.4% year-over-year rise, under the anticipated +5.5%. Imports weren’t setting records either, rising just +1.3% against the expected +3.4%. Everyone’s now glued to any development in trade news or tariffs.

US Economic Data and its Ripple Effect

This week’s agenda is packed with economic data. The BLS releases its annual US payrolls benchmark revision soon. Wednesday’s all about the PPI, predicted at +3.3% y/y, unchanged from July. Thursday will see the CPI, anticipated to climb to +2.9% y/y. And by the way, jobless claims are expected to drop by 3,000.

Interest Rates: Going Lower

Bond Yields and Auctions

Treasury yields took a dip, with the December 10-year T-notes closing higher by 5 ticks. But watch out for upcoming auctions—$119 billion in T-notes and T-bonds are scheduled, starting with a $58 billion 3-year note sale.

European Rates

Across the pond, European bond yields followed suit, drifting lower. The German bund yield ended at a one-month low, and the UK gilt didn’t want to miss out, hitting a three-week low.

Movers and Shakers on Wall Street

Tech Takes the Lead

Chip stocks? They strutted their stuff. Marvell Technology, Broadcom teamed up with OpenAI for AI accelerators, fueling a surge. AppLovin, poised for an S&P 500 entry, led Nasdaq gainers with an 11% jump. Rapport Therapeutics skyrocketed 122% after some promising trial results.

Telecom and Other Sectors

Not everyone’s raking it in. Telecom stocks tumbled after SpaceX bought spectrum from EchoStar. And watch CVS Health; they took a hit after dodging questions in an investor meeting.

Market Expectations and Speculations

The upcoming FOMC meeting is all anyone can talk about. The markets have baked in an 81% likelihood of another 25-point cut in October. As for Trump and tariffs, a court ruled he overstepped, but tariffs stay on while appeals sort that out. Here’s hoping it doesn’t end in a Supreme Court showdown.

Leading Losers

While some stocks soared, others dove. Norwegian Cruise Line announced a major notes sale, and Dexcom got downgraded, both taking some hard hits.

Upcoming Earnings

We’ve got some big shots reporting soon: Core & Main Inc, GameStop Corp, and Oracle Corp, to name a few. Eager to see how they navigate these tricky markets.

Final Thoughts and Disclaimers

Remember, finance can be trickier than parallel parking in Midtown. This piece? Purely for your morning read over coffee. For the boring legal stuff, check out the Barchart Disclosure Policy. And hey, don’t blame Rich Asplund if your stocks take a nosedive; he’s just the messenger here.