Stock Market Analysis: Key Insights and Predictions for August

#StockMarket #RateCut #EconomicUpdate

Stock Market Today: Live Updates

As the market gears up for the August consumer inflation report, U.S. stock futures have taken a slight dip. This comes after a mixed performance on Tuesday, with the S&P 500 and Nasdaq Composite posting back-to-back gains while the Dow Jones Industrial Average experienced a decline.

Market Performance

• S&P 500: Rose nearly 0.5% on Tuesday.
• Nasdaq Composite: Increased by 0.8%, driven by a surge in $NVIDIA's stock.
• Dow Jones Industrial Average: Declined by 0.2%, primarily due to a drop in $JPMorgan shares.

Key Economic Updates

• Consumer Price Index (CPI): Scheduled for release on Wednesday morning, with economists forecasting a 0.2% increase in the headline CPI from the previous month and a 2.6% rise compared to the same month last year.
• Producer Price Index (PPI): To be released on Thursday, which, along with the CPI, could influence the anticipated extent of a rate cut at the Federal Reserve's meeting on September 18.

Rate Cut Expectations

• Fed Funds Futures: Indicate a 69% probability of a 25-basis-point rate cut and a 31% chance of a 50-basis-point reduction, according to CME's FedWatch Tool.
• Expert Insights: Kristina Hooper, Invesco's chief global market strategist, believes a 25-basis-point rate cut is likely, as a 50-basis-point reduction could raise concerns and imply a sense of accountability.

Notable Stock Movements

• GameStop: Stock plummeted by 10% in after-hours trading after modifying an existing market sale agreement, allowing it to offer up to 10 million additional shares of its A common stock.
• Petco Health & Wellness: Shares surged by 4% after reporting second-quarter earnings that matched market expectations.
• Dave & Buster's Entertainment: Stock rose by 8% after reporting earnings of 99 cents per share, surpassing analyst expectations.
• Morgan Stanley: Stock declined by 1% after being downgraded from buy to neutral by Goldman Sachs.

Original Article: https://www.cnbc.com/2024/09/10/stock-market-today-live-updates.html