Weak economic growth and labor-market softness are on center stage for the central bank, overtaking inflation concerns. ...

LOGIN SUBSCRIBE advertisement BYÂ Reuters Listen to this ArticleMore info 0:00 / 0:00 An "everything rally†in markets greets the start of a two-day Federal Reserve meeting, with stocks at record highs, bond yields subsiding and a two-month low dollar taking the heat ahead of what is widely expected to be the first U.S. interest rate cut of the year. A quarter point Fed rate cut on Wednesday is fully priced. But the spotlight is as much on the central bank's institutional standing as on the policy call itsel ...

America's largest group of homebuilders is feeling good about where the housing market is headed. That's because everyone seems confident that the Fed is poised to cut interest rates for the first time in 2025 this week, the National Association of Homebuilders wrote in a note Tuesday.That's expected to lower borrowing costs for buyers—a much-needed catalyst for the US housing market to reopen after years of higher mortgage rates that have sidelined buyers and sellers. The Fed looks poised to trim its ta ...

US stocks pulled back from records on Tuesday as the Federal Reserve kicked off its September policy meeting. The benchmark S&P 500 (^GSPC) and the tech-heavy Nasdaq Composite (^IXIC) fell around 0.1% and 0.15%, respectively, while the Dow Jones Industrial Average (^DJI) dipped nearly 0.3%. In an otherwise light week on economic data, investors received the latest figures on retail sales on Tuesday showing strong consumer spending despite sticky inflation and a wobbly labor market. Retail sales in August ...

Economic Outlook - The Federal Reserve is expected to cut interest rates, with a consensus leaning towards a 25 basis points reduction, although a 50 basis points cut would be more beneficial for the economy [2][4] - The job market is showing signs of weakness, and there is a significant lack of discussion regarding the housing market, which is affecting young families' ability to afford homes [3][4] Housing Market - The current real estate market is characterized by high demand and low supply, leading to unprecedented affordability issues for young families [4] - Despite high mortgage rates, home prices have not decreased as typically expected, exacerbating the affordability crisis [4] Tariffs and Inflation - The justification for maintaining high interest rates due to tariffs is questioned, as tariffs are viewed as a one-time price increase rather than a continuous inflationary factor [5][6] - The economic environment is complex, with uncertainty surrounding tariff strategies impacting small businesses and hiring [7][8] Employment and Investment - There is optimism regarding a resurgence in hiring by the end of the year, although the current market conditions are weak [9] - Foreign investment and reshoring of manufacturing to the U.S. are anticipated to positively influence the economy [8][9]

Market Overview - U.S. stock futures are showing modest gains as investors anticipate a Federal Reserve interest rate cut, contributing to positive sentiment following record-setting sessions for technology-heavy indexes [1][2] - The S&P 500 and Nasdaq closed at new all-time highs, with the S&P 500 up 0.47% to 6,615 and the Nasdaq up approximately 0.9% to 22,349 [4] Economic Indicators - The 10-year Treasury yield has dipped 2 basis points to 4.04%, making equities more attractive [3] - Key economic data releases include August U.S. Retail Sales, expected to rise by 0.3%, and Import and Export Prices, anticipated to decline by 0.2% [6] Corporate Earnings - Ferguson Enterprises Inc. and several other companies are set to report earnings, including Evolution Petroleum Corp, Ispire Technology Inc, NexPoint Diversified Real Estate Trust, and US Gold Corp [7] Notable Stock Movements - Tesla Inc. shares rose 3.6% on Monday after CEO Elon Musk acquired over $1 billion in stock, continuing to rise by 2.5% in premarket [8][9] - Alphabet Inc. saw a significant 4% increase, reaching a market capitalization of over $3 trillion, making it the best-performing stock among the "Magnificent Seven" [13] - Seagate Technology Holdings Plc rallied over 7% following a price target upgrade from Bank of America, while Western Digital also saw a more than 4% increase [13] - Warner Bros Discovery surged 8.41% in premarket trading on reports of a potential $50 billion takeover bid from Paramount Skydance [13]

Market Overview - U.S. stock index futures showed slight increases, with the S&P 500 and Nasdaq reaching record highs, driven by investor expectations of interest rate cuts from the Federal Reserve [1][4] - Investors are anticipating a 25 basis point cut from the Federal Reserve at the conclusion of its two-day meeting, aimed at addressing the decline in the U.S. labor market [1][2] Economic Indicators - The Senate confirmed Stephen Miran as an economic adviser to the Fed, while a court rejected Trump's attempt to dismiss Fed Governor Lisa Cook, maintaining rate cut expectations [2] - An upcoming retail sales report for August is expected to provide insights into U.S. consumer health ahead of the Fed's decision [3] Company Performance - Oracle's stock rose by 3.8% in premarket trading, as it is part of a consortium that may allow TikTok to continue operations in the U.S. if a deal is reached [3] - Tesla and Alphabet contributed to the record highs of the S&P 500 and Nasdaq, with Alphabet's market valuation surpassing $3 trillion for the first time [4] - Dave & Buster's Entertainment saw a significant decline of 17.7% after missing revenue and profit expectations for the second quarter [5] - Chipotle Mexican Grill's stock increased by 1.9% following an announcement to raise its share buyback authorization [5]

Group 1: Vehicle Sales Performance - New vehicle sales in Indonesia declined by 19% in August 2025, totaling 61,780 units compared to 76,302 units in August 2024 [1] - In the first eight months of 2025, the vehicle market shrank by 11% year-on-year to 500,951 units, following a 17% decline to 560,552 units in the same period last year [3] - Sales of light passenger vehicles fell by 11% to 387,110 units, while commercial vehicle sales declined by 9% to 113,841 units [3] Group 2: Market Dynamics - Market sentiment has weakened significantly, with fewer consumers making large purchases despite economic growth accelerating to 5.1% year-on-year in Q2 2025 [2] - Bank Indonesia cut its benchmark interest rate by 25 basis points to 5.00% in August, down from a peak of 6.25% a year earlier, to stimulate consumer spending [2] Group 3: Competitive Landscape - Japanese automakers face increased pressure from the growing presence of Chinese brands, particularly in the battery electric vehicle (BEV) segment [4] - BEV sales surged threefold to 53,100 units in the first eight months of 2025, with BYD and its Denza brand leading with 25,537 units [4] Group 4: Production and Exports - Overall vehicle production in Indonesia fell by over 3% year-to-date to 757,220 units, despite a 12% rise in exports of fully-assembled vehicles to 335,063 units [5]

Group 1 - The S&P 500 is expected to continue climbing as investors anticipate a Federal Reserve interest rate cut, marking the first reduction of the year [1][2] - Futures for the Dow Jones Industrial Average are up slightly, while S&P 500 futures increased by 0.1% and Nasdaq 100 contracts rose by 0.2%, following previous session closing highs [2]

Market Reactions to Trump's Announcements - U.S. stocks, including the S&P 500 and Nasdaq Composite, experienced gains following positive comments from President Trump about trade talks with China, with the S&P 500 reaching a record of 6,615.28 and the Nasdaq closing at 22,348.75, also a new record [2] - The market's relief was partly due to a "framework deal" regarding TikTok, which Trump indicated was important for young people in the U.S. [3] - Despite initial positive reactions, analysts expressed skepticism about the sustainability of the market's gains, highlighting the lack of clarity on what China would gain in return for the increased U.S. tariffs [5] Tariff Implications - President Trump authorized the continuation of approximately 55% tariffs on Chinese goods, which includes a 10% baseline tariff, a 20% levy for fentanyl trafficking, and a 25% pre-existing tariff [4] - In response, China is expected to impose a 10% tariff on U.S. imports, indicating ongoing trade tensions [4] Corporate Reporting Changes - Trump proposed abolishing quarterly earnings reports in favor of semiannual reporting, claiming it would save money and allow managers to focus on running their companies [7] - The proposal received mixed reactions from the financial community, with some analysts suggesting that while the SEC could implement such a change, it might not happen until 2026 at the earliest [8] - Critics argue that less frequent reporting would be detrimental to public market investors who rely on timely data, while some support the idea for its potential benefits to long-term company builders [9][10] Broader Economic Context - The Chinese economy is showing signs of strain, with August industrial production and retail sales rising weaker than expected, and new home prices continuing a 27-month decline [6] - Trump's recent demands for a "big interest rate cut" align with market expectations for a quarter-point reduction at the upcoming Federal Reserve meeting, indicating a potential easing of monetary policy [12] Individual Stock Movements - On September 15, 2025, major indices hit records, with Tesla rising 3.6% after Elon Musk purchased $1 billion in stock, and Alphabet increasing 4.5%, pushing its market capitalization above $3 trillion [13] - Conversely, Nvidia faced a decline of 2.5%, reflecting pressure on chip stocks, while computer hardware and networking stocks saw gains [13]