“There’s a lot of expectations going into this core CPI print for the month of July.” – 01:24
Chris Versace, CIO of Tematica Research, joins Remy Blaire to discuss the current state of the U.S. stock market and the looming concerns surrounding inflation as a new trading week kicks off. With Wall Street poised for a higher open, we reflect on the positive momentum from last week, where U.S. stocks, particularly the Nasdaq Composite, reached new heights, and the S&P 500 came close to a record close.
Chris shares his insights on the market’s expectations for a potential rate cut by the Federal Reserve. The pair discuss the recent surge in rate cut expectations, with the CME FedWatch tool indicating the possibility of three cuts by the end of the year, up from the previously anticipated two. Chris emphasizes the importance of the upcoming core Consumer Price Index (CPI) figures for July, suggesting that a higher-than-expected inflation reading could influence the Fed’s decisions moving forward.
As we approach the back-to-school season, Chris unpacks the impact of recent tariffs on consumer behavior and spending. Chris explains how the extended Amazon Prime Day and competitive offerings from retailers like Walmart and Target may have influenced shopping patterns, particularly in the context of rising costs due to tariffs.