“AI seems like the gift that keeps on giving.” – 03:42
Peter Tuchman, Senior Floor Trader at TradeMas, joins Remy Blaire to discuss the recent surge in U.S. stock markets, which have reached record highs.
Peter elaborates on the market’s behavior, referencing the adage “buy the rumor, sell the news.” He notes that markets tend to rise until they reach a peak, and despite the potential for a pullback, the current sentiment is one of euphoria, with investors actively buying across various asset classes, including cryptocurrencies and equities. Remy and Peter discuss the impressive earnings reports, with 80% of companies beating expectations, and the positive guidance that has contributed to this bullish sentiment.
A key highlight of their conversation is the recent performance of Oracle, which saw its stock price soar over 35% after reporting earnings, despite missing on both the top and bottom lines. This reaction underscores the market’s focus on future potential rather than just current performance. They also touch on the explosive growth of 8Co, which experienced a staggering quadruple percentage gain, reflecting the growing interest in AI-related investments.
As they approach the upcoming Federal Reserve meeting, Remy and Peter discuss the anticipation surrounding the decision on interest rates. Peter shares his insights on the likelihood of a 50 basis point cut, given the current economic data, and speculates on the potential for multiple cuts by the end of the year. He emphasizes the importance of the Fed’s communication and how it will impact market sentiment moving forward.