The Market Brief
Hey team, after a perfect 40-point rejection from the exact reference of 5807 that we've shared since Friday, the market is making its way towards the lower end of balance.
Let’s review some of the key areas we'll be focusing on this week!
Macro Viewpoint
U.S. stock index futures declined on Monday as investors scaled back expectations for the extent of Federal Reserve rate cuts this year, ahead of important inflation data.
Investors are pricing in over a 93% chance of a 25 basis point rate cut at the Fed meeting in November.
Just a week ago, markets were hopeful for a second, larger 50 basis point reduction.
However, a strong September non-farm payrolls report last Friday showed that the economy unexpectedly added the highest number of jobs in six months, indicating a still-robust job market.
Although markets are still adjusting their expectations for interest rate cuts, most analysts remain optimistic about the economy's underlying strength and the prospects for equities.