WEEK OF SEPTEMBER 16, 2024
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Important Prices
What’s Moving The Markets?
Fed Prepares for Rate Cuts
In a critical move for the US economy, inflation dropped to 2.5% in August 2024, accelerating the Federal Reserve’s plans to implement interest rate cuts, with a 71% chance of a 25 basis point reduction expected at the FOMC meeting on September 17th.
OpenAI’s New o1 Model
OpenAI has launched its new o1 model, designed for complex problem-solving using reinforcement learning, achieving 83% success in AP math problems, while its slower speed and higher cost limit practicality for general use; a smaller, affordable o1-mini version is also available.
Google Begins Antitrust Battle
Alphabet’s Google (GOOGL) is facing an antitrust trial accusing it of monopolizing the online advertising market through anti-competitive practices, while the defense argues that Google now competes in a rapidly changing landscape; if found guilty, Google could be forced to sell its Ad Manager platform.
Boeing Faces Worker Strike
Boeing (BA) workers on the U.S. West Coast began their first strike since 2008 after rejecting a contract offer, halting 737 MAX production and causing a 2% drop in Boeing’s stock; the company faces further financial strain and regulatory scrutiny amid leadership changes and mounting debt.
Huawei Challenges Apple’s Latest iPhone
Huawei has introduced its $2,800 Mate XT, a tri-foldable smartphone with a 10.2-inch display and advanced AI features, just hours after Apple’s (AAPL) iPhone 16 launch, aiming to challenge Apple’s market dominance with its innovative design and high-tech capabilities.
MicroStrategy Buys Additional $1.11B BTC
MicroStrategy (MSTR), led by Michael Saylor, has bolstered its Bitcoin holdings with a $1.11 billion purchase of 18,300 BTC, elevating its total to 244,800 BTC, as Saylor projects a robust commitment to the cryptocurrency’s future.
S&P Outlook
Bear Case: Bears are eyeing a potentially heavy concentration of supply starting at 5653.50, just above the current price. To gain the upper hand, they must defend this supply zone vigorously and aim to drive the price back down below 5393. This action is crucial for bears to reassert control and continue their downward momentum.
Bull Case: Bulls are tasked with defending the 5505 pivot to sustain their current upward trajectory. Should the price dip below this level, a newly identified demand zone at 5489 could provide essential support. Holding this level is vital for bulls to stabilize and potentially increase their upward momentum.
EARNINGS RELEASE CALENDAR
FOR WEEK OF SEPTEMBER 16th
Economic Data Calendar
