'Surprised' stock markets are still moving higher, says Raymond James' Larry Adam

Market Sentiment and Economic Data - The market has been surprisingly resilient, with a 12% increase during the summer, marking the third strongest summer in a long time [1] - Composite economic data suggests weakening employment conditions, as indicated by the Beige Book, ISM, ADP, and JOLTS reports [2] - Market's reaction is heavily influenced by revisions to economic data [4] - Revisions to employment numbers are common, with initial surveys typically having a lower response rate (around 60%) compared to later revisions (90-95%) [6] Employment Data Analysis - Consensus for the upcoming jobs number is 75,000, and unless the number is significantly outside the range of 50,000 to 150,000, it may not be a major market-moving event [9] - A jobs number above 150,000 could introduce uncertainty about potential Fed rate cuts in October and December [12] - Negative revisions to May and June numbers could potentially accelerate the timeline for Fed rate cuts [5] Federal Reserve (Fed) Policy - The market is anticipating potential Fed rate cuts, with the expectation that the die has been cast for the upcoming meeting [12][14] - Inflation numbers next week will be crucial, as they are expected to show price increases flowing through to the data, potentially complicating the Fed's job [10] - The market is learning not to overreact to policy initiatives, as several anticipated negative impacts (tariffs, deportations, OBB passage) have not materialized [15][16]