Tesla surges. Gold ATH and BTC as inflation hedge?
Indices were boosted by strong results, including Tesla, which rose over 20% in the days following its earnings report. This and much more in today’s post.
September ended up breaking the statistics, with the SPY closing 1.3% positive, when it’s typically the worst month of the year. The same happened in the crypto market, where BTC historically falls almost 6%, but ended up gaining 12%, and so far this year, it's up 50%.All of this has been driven by the Fed’s rate cut momentum, upcoming elections, and labor market data on the way.
The Fed decided to cut the interest rate by 0.5. Are they afraid something will break with such a strong cut? It raises some suspicion; we’ll see how the market reacts, but initially, the SP500 is leaving a dangerous wick after reaching a high. Ambiguous market profile: record wealth, and stocks at ATH, but inflation persists, housing sales are falling, and bankruptcies are rising on the other hand.
Super bullish week, but Wednesday the 18th will be a crucial turning point.
We had a week with strong bullish green candles for the indices. An ascending triangle is starting to form in the SPY, and on Wednesday, September 18, 2024, the rate cut will be defined. Stay tuned.
NVDA exceeded expectations but is still down 6%. There are still opportunities, but be cautious heading into September.
Rate cuts have been confirmed, but September is also approaching, which historically has been the worst month of the year for the indices. There's significant uncertainty, especially with the elections on the horizon. Pay attention to how things are developing, particularly with the news.
Rate cuts are finally on the horizon; the question now is by HOW MUCH
We just came off the best week of 2024 for the indices, including the Nikkei. Gold reached a record price, and the market added $3 trillion in value from its lowest point earlier this month. By Tuesday, the SP500 had seen eight consecutive sessions of gains.Now that we have confirmation of rate cuts, what will drive the market with greater volatility will be news indicating HOW MUCH the rates will be cut. For example, news related to the labor market— the weaker it is (more unemployment), the more likely we are to see aggressive rate cuts. So, it's important to keep a close watch.
