Let's talk markets and where to put your money to work right now. Joining us is Mona Mahajin, principal and head of investment strategy at Edward Jones. Uh Mona, a lot has been made of kind of the muted response to the news surrounding the Fed, what the president can do regarding Lisa Cook's job.Were you surprised by the market reaction. And if it doesn't react, what does that tell you about how much the market effectively cares. Yeah, you know, look, I think the market does care about Fed independence.We k ...

Nvidia's Market Impact - Nvidia accounts for approximately 8% of the SPY (S&P 500), around 10% of the NASDAQ 100, and over 22% of the SMH [1] - The market anticipates Nvidia to surpass both top and bottom-line expectations, with focus on their future guidance, particularly regarding China and data center growth [2] Market Broadening and Sector Rotation - The market has shown broadening, with previously underperforming sectors experiencing gains, such as healthcare [3] - Lower interest rates are expected to benefit sectors that have been under pressure, including small-cap companies [3] Liquidity and Investor Sentiment - Approximately $7 trillion is held in US money market funds, a rise from $4 trillion in recent years, suggesting potential capital inflow into big cap tech if Nvidia performs well [4] - BFA's flow show indicated that clients sold stocks in nine out of eleven sectors, led by tech, staples, and financials, with hedge funds being the largest equity sellers [5] Small Caps and Rate Cuts - Small caps are more highly leveraged than larger cap companies, making them particularly sensitive to interest rate changes [9] - Small caps could benefit significantly if a recession is avoided and a couple of rate cuts occur, as they are currently considered cheap [9] Investment Strategy - The company favors big cap tech overall, citing strong earnings power, and advises against reducing tech exposure before Nvidia's earnings [11]

NEW: 🇺🇸 PRESIDENT TRUMP JUST SAID WE WILL SOON HAVE MAJORITY IN THE FED.MEANS BIG RATE CUTS ARE COMING LOL ...

Economic Outlook - The U.S economy might experience diminishing returns from rate cuts and fiscal spending [1] - The U.S economy could face more side effects from prolonged stimulus, similar to an athlete overusing performance-enhancing drugs [1]

Summary of Key Points from the Conference Call Industry or Company Involved - The conference call primarily discusses the U.S. Treasury market and interest rate strategies, with insights from Morgan Stanley's research team. Core Insights and Arguments - **Market-Implied Trough Fed Funds Rate**: Currently at 2.94%, it is expected to decline further, potentially reaching below 4.00% for 10-year Treasury yields, indicating a steeper yield curve ahead [6][15][19]. - **Federal Reserve Rate Cuts**: The market is pricing in at least two rate cuts this year, with potential for more if labor market weakness continues [25][27]. - **Impact of Tariffs on Deficits**: The Congressional Budget Office (CBO) estimates that tariffs will reduce deficits by $4.0 trillion over the next 10 years, an increase from the previous estimate of $3.0 trillion [6][41][47]. - **Labor Market Dynamics**: Chair Powell noted a significant slowdown in job growth, which could lead to more rate cuts if the labor market continues to weaken [25][31]. - **Consumer Spending and Economic Growth**: GDP growth has slowed to 1.2% in the first half of the year, attributed largely to a decline in consumer spending [34]. Other Important but Possibly Overlooked Content - **Student Loan Repayments**: The resumption of student loan repayments is expected to negatively impact consumer spending and economic growth, as 7.7 million borrowers will have to start making payments again [35][36]. - **Term Premium in Treasury Yields**: The term premium for 10-year Treasury yields remains stable, suggesting that uncertainty around tariffs and deficits is diminishing [16][19]. - **Trading Strategies**: Recommendations include staying long on UST 5-year notes and engaging in curve steepeners, while cautioning against selling 10-year TIPS due to potential negative carry [20][23][21]. - **Labor Market Surprise Index**: The index indicates that labor market data has been surprising to the downside, which could lead to further rate cuts being priced in by December [28][32]. This summary encapsulates the key points discussed in the conference call, focusing on the implications for the U.S. Treasury market, interest rates, and broader economic conditions.

Market Impact of Potential Fed Turmoil - The market has become conditioned to noise from the administration regarding policy makers [2][3] - The market may initially take potential Fed turmoil in stride, viewing it as a continuation of a dovish Fed policy and anticipating future rate cuts [3][4] - Equity market is expected to react positively to potential aggressive rate cut strategy, craving more stimulus [6] - Bond market is expected to become more stressed, with risk premium potentially creeping higher [7][8] Potential Risks and Concerns - S&P Global warned that the US credit rating could come under pressure if political developments weigh on the strength of American institutions [9] - Turmoil alone is not expected to drive a downgrade, but a more pervasive approach could be a contributing factor [11] - Deficits, debt levels, and the steepening yield curve are greater concerns than the potential Fed turmoil [12] Investment Strategies - Technology sector is considered a safe trade due to the AI race [13] - Opportunities exist in the industrials and financials sectors [14] - Focus is shifting towards size and earning stability in the back half of the year due to increasing volatility [15]

Market Focus - Discussion on Jackson Hole, Lisa Cook, and potential rate cuts [1] - SOL DATs (likely referring to Solana-based Data Availability Tools or similar) are taking the spotlight [1] - Examination of whether the memecoin trade is over [1] Event & Participation - UNDER EXPOSED! event scheduled with @DeeZe and @CSURAM88 [1] - Event time: 12 pm ET on Kick or spaces [1]

Never's a long time. Let me expand the conversation. We'll bring in Charles Schwab's Kevin Gordon.He's with us here at Post 9 and Truist Keith Learn is joining us as well. It's great to see you both. That's a good segue, Keith, to go to you because that is one of your principal picks, the small caps, which you upgraded.That's right. Well, great to be with you. I've been listening to the conversation.I actually agree with a lot of it. I mean, we we're still bullish on tech. We're still bullish on lab large c ...

In the meantime, we'll show you the scorecard here with 60 to go in regulations. Been a mostly down day for the majors. NASDAQ is flat.Uh the others are pretty much as well. And that's following Friday's big gain sectors. They're mixed today.Tech and com services are leading. Healthcare and staples have been the biggest lagards today. We're watching CSX shares falling on reporting from both Becky Quick and David Faber today.That a deal between that company and Burlington Northern owned by Warren Buffett's B ...

Market Outlook - The market anticipates a dovish stance from Powell [1] - Rate cuts are expected [1] Cryptocurrency Predictions - Bitcoin is projected to increase to $150,000 [1] - Ethereum is predicted to surge to $6,000 [1]