July 29, 2019

Market News

Stocks fell as large tech companies weighed on benchmarks and investors look ahead to a key Federal Reserve meeting. Many anticipate the meeting will result in the first rate cut since 2008. Investors will also be sorting through any developments between the Chinese and U.S. negotiations on Tuesday. Additionally, corporate earnings will remain a focal point as everyone is looking to see if the global economic slowdown is being reflected in companies bottom lines.

Bond prices are relatively flat, and the 10-Year treasury is yielding 2.06%. Fed Chairman Jerome Powell’s post-meeting press conference on Wednesday will provide an opportunity to gauge the trajectory of U.S rates after the central bank suggested they’ll ease policy. As of now, the market has fully baked in a 25-basis point cut. While the U.S. economy has been solid, policy makers are being cautious concerning the slowing global growth and elevated trade tensions. Additionally, traders will eagerly await monthly employment data for the U.S. on Friday.

 

Josh Pappert – VP, Capital Markets
Nations Direct Mortgage