Over the weekend, an attempt was made on Former President Trumps life at a rally, further reflecting the deep political divide in the county. While equities closed higher on Friday night on bets that the US Federal Reserve will cut interest rates in September, while big banks fell after reporting mixed results.
Fed Chair Powell and Lower inflation data fueled optimism of September rate cuts, sparking a shift back into small-caps
Australian shares surged 1 per cent to a record high of 7969 points by midday, driven by data showing the US entered deflation in June, increasing expectations for imminent rate cuts by the US Federal Reserve.
Anticipating next week’s economic figures. Stay informed on the latest financial updates and trends.
In a surprising turn of sentiment, the Magnificent 7 had their worst day in months, while the broader market was firmer, despite cooling inflation data. The sentiment of rejoicing falling inflation became the reality check investors have been blind to, as it points to a slowing in the U.S. economy even if Federal Reserve interest rate cuts become a possibility later this year.
All 11 sectors of the S&P/ASX 200 advanced, bringing the index close to its record intraday high of 7910.5 points set on April 2.
Stocks hit fresh records as the S&P 500 closed above 5,600 for the first time Wednesday, led by tech and ongoing hopes for sooner rate as Fed Chair Jerome Powell delivered his second-day of testimony before Congress, a day ahead of fresh inflation data.
A sell-off in mining stocks pulled the Australian sharemarket down in the afternoon. The S&P/ASX 200 Index fell 0.3%, or 23.6 points, to 7806.1, with seven out of 11 sectors declining.
Stocks eked out another tiny gain to secure another record close for the fifth-straight session as testimony from Federal Reserve Chair Jerome Powell didn’t sway investors from bets on a first rate cut in September.
Australian shares advanced on Tuesday afternoon in a broad-based rally. The S&P/ASX 200 Index gained 0.8%, or 64.7 points, to 7827.9 by 2:20 pm AEST, with all 11 sectors in the green. The communication services sector led gains, with Telstra rising 3.3% after announcing a price increase for its mobile plans, and REA Group firming 2%. The consumer discretionary sector rallied 1%, with Wesfarmers up 0.8%..
Markets lacked direction as investors showed a cautious sentiment ahead of testimony by Federal Reserve Chair Jerome Powell to Congress and key inflation data this week.
