(Telestock) – Positive session on Wall Street, where Nasdaq and S&P-500 continue to be at historical highs. In particular, yesterday the S&P500 recorded its sixth consecutive session of gains, the best positive streak since last January, confirming a historic level for the thirty-sixth time since the beginning of the year. The US market continues to benefit from the Increased chance of first rate cut at Fed meeting in Septemberwhich seems to prepare the ground for this scenario without however defining precise timescales.
As expected, yesterday at the hearing at the Senate the chairman of the Fed Jerome Powell refrained from committing to a timetable for rate cuts. In particular, he stressed that recent data point to further modest progress on the inflation path but that further confirmation of this will be needed to fuel the Fed’s confidence, placing particular attention on Friday’s June CPI release. Powell is expected to Roomwhere he will continue to answer questions from legislators.
According to the CME’s FedWatch Tool, traders see a 77% chance of a cut of at least 25 basis points in Septemberup from 73% yesterday and 74% a week ago.
“Our position is that the Fed does not want to provoke a recession if it can avoid one and, data permitting, we expect the Federal Reserve to start moving monetary policy from ‘tight’ to ‘slightly less tight’ territory starting in September,” ING analysts wrote, suggesting that the Jackson Hole Symposium of late August will be used as the venue to give the market the clearest indication yet of the impending easing of policies.
Investors are also looking at thestart of quarterly reportswhich will start on Friday with the results of some of the largest American banks (Citigroup, JPMorgan, Wells Fargo And Bank of New York Mellon).
Looking at the main indexesThe Dow Jones is substantially stable and is positioned at 39,311 points, while, on the contrary, a small leap forward for theS&P-500which reaches 5,589 points. Slightly positive the Nasdaq 100 (+0.31%); with a similar direction, in fractional progress theS&P 100 (+0.24%).