Marcus Today Pre-Market Podcast – Monday 14th August

US markets experienced a general decline last week as they absorbed fresh inflation data and evaluated the future trajectory of the Fed's interest rates. The Dow increased by 105 points (+0.30%) on firday, reaching its peak with a gain of 179 points, but also experienced a low point with a decline of 116 points. The S&P 500 registered a slight decrease of 0.11%, while the NASDAQ faced a more significant loss of 0.68%. This decline was attributed to a sell-off in shares of companies like AMD (-2.4%), Micron (-1.6%), and Nvidia (-3.6%), resulting in their second consecutive week of losses. The rise in produce prices, which reflect the costs paid by wholesalers for raw materials, was 0.3% MoM, marking the most substantial increase since January and surpassing the expected 0.2%. This development led to speculations that the Fed might need to maintain higher interest rates for an extended period.

• Russell 2000 +0.13%, down 1.65% for the week.
• US Michigan consumer sentiment edged lower to 71.2 in August from 71.6 in July, beating expectations of 71.
• USD Dollar Index hits a five-week high of 102.86, boasted by a higher-than-expected rise in producer prices.

HEADLINES

• ASX set to fall as earnings, wage costs, jobs data top agenda.
• Sluggish US earnings may need pick-me-up to support 2023 stock rally.
• Stocks fall, yields rise after hotter than expected inflation reading.
• Contact Energy declares NZ21¢ final dividend.
• SkyCity books $45m provision for potential AUSTRAC penalty.
• Goldman’s final take on US second-quarter results.
• Be wary of the dovish inflation narrative: Scotiabank.
• Earnings to gather pace this week.
• China condemns visit of 'troublemaker' Taiwan VP to US.
• US, China agree to double weekly flights between countries.
• Novo eyes other health benefits from weight-loss drug Wegovy after major trial.
• Trump heading for Republican 'coronation' as 2024 rivals struggle to stop him.
• SoftBank in talks to buy Vision Fund's 25% stake in Arm -sources.

Why not sign up for a free trial? Get access to expert insights and research and become a better investor.

Make life simple. Invest with Marcus Today.