Previous week was a volatile one, which is usual during the time of the FOMC meeting. The one held on Wednesday was extremely important for markets, as they were expecting a new macro input from Fed officials. The surprise came not through the Fed holding interest rates unchanged, but their projection of possible only one cut during the course of this year. This made market participants to re-think their previous optimism, and adjust their positions accordingly.
The S&P 500 had its momentum after the FOMC meeting and opened Thursdays’ trading session higher from Wednesday's close. The highest weekly level was at 5.443, still the index is finishing the week at the level of 5.431. Although the index had a weekly gain of 1.6%, still there were only a few sectors which led the index to the higher grounds, like communications, information technology and consumer staples. As analysts are noting, more than 360 stocks included in the index ended the week in red. Software company Adobe was one of the highest gainers during the previous week, with a surge in price of 14.5%, after releasing Q2 data.
It could be expected that the markets will spend a week ahead digesting both US CPI data and Fed latest rhetoric on the course of interest rates and macro developments. In this sense, it could also be expected that some traders will reassess their profit-taking periods.
The S&P 500 had its momentum after the FOMC meeting and opened Thursdays’ trading session higher from Wednesday's close. The highest weekly level was at 5.443, still the index is finishing the week at the level of 5.431. Although the index had a weekly gain of 1.6%, still there were only a few sectors which led the index to the higher grounds, like communications, information technology and consumer staples. As analysts are noting, more than 360 stocks included in the index ended the week in red. Software company Adobe was one of the highest gainers during the previous week, with a surge in price of 14.5%, after releasing Q2 data.
It could be expected that the markets will spend a week ahead digesting both US CPI data and Fed latest rhetoric on the course of interest rates and macro developments. In this sense, it could also be expected that some traders will reassess their profit-taking periods.
