August 22, 2024

Markets:

Stock futures ticked higher Thursday as investors look ahead to commentary from Federal Reserve Chair Jerome Powell expected later this week.

Traders are turning their attention to Powell’s expected speech at the Jackson Hole Economic Symposium on Friday, hoping for further insight into rate policy. Traders are currently pricing in a 100% chance of a decrease to borrowing costs next month, per the CME Group’s FedWatch tool, but they are divided when it comes to how large the reduction will be.

That will follow minutes from the Fed’s July gathering released Wednesday. They indicated that most participants at the central bank’s meeting said it would “likely” be appropriate to lower the key interest rate at September meeting — if data continues to come in as expected.

Investors seemed pleased with the meeting summary, as the S&P 500 and the Nasdaq Composite on Wednesday posted their ninth winning session of the last 10. The S&P 500′s advance brought the broad index within 1% of its closing record.

Portfolio:

We enter the new session holding set-ups in MARA, ASTS, NIO, ZETA, and TSLL  Overall, markets continue to build well heading into Jackson Hole Economic Symposium on Friday.  Important speech coming up by Powell.  The sector that continues to build into Powell, which is catching most by surprise, are the semi's.  Typically, chips are sold going into the Fed.  To see this strength and continue to build is super positive.  A ton of inside days in this sector, could get really explosive here.  Not much more to add here, keep it simple and do not fight the trend.  Next level opportunity is building and we just hope Powell delivers tomorrow and does not throw a curve ball at us in any way.  If he keeps it inline, we will see a monster inflow come into play from the sidelines.  

Be ready today and let's have a great session.