Wall Street will be interested in critical data releases in the next few weeks that have the potential to steer future market trends. Investors are looking forward to the jobs report, the inflation figures, and the rate call that will be announced in the coming three weeks of time.
Swaps markets have placed bets indicating a probability of around 90% that the Federal Reserve will cut rates at the next meeting, and this may have a significant effect on market sentiment.
The likelihood of reduced borrowing rates has continued to hold the US stocks at the highs of recent times, yet there is worry about September, which has traditionally been the worst month for the S&P 500.
The futures of the S&P 500 and are trading slightly flat, even as the US stock market will be closed on Monday, Labor Day. The market experienced a downward pullback on Friday, with the bull market cashing in on profits after the release of the Federal Reserve’s preferred inflation measure, which was still higher than expected.
With the market anticipating the following data, the question of what the Fed will do next and the overall effect on the market trends is still uncertain.