Pre-Market Report – Monday 25 August: US markets rally on Powell | Resources to rally

Wall St rose sharply overnight, boosted by a dovish shift from Powell at Jackson Hole. S&P 500 up 1.52%. Erasing its weekly loss to finish up 0.27%. Nasdaq best. Up 1.88% but still finished down 0.58% for the week. Dow up 846 points to a fresh record high. The best performer this week up 686 points or 1.53%. Small Caps, the most sensitive to rate cuts spiked 3.86%. Having shown no inclination to cut rates until the recent soft jobs data, Powell opened the door overnight, saying "The stability of the unemployment rate and other labour market measures allows us to proceed carefully as we consider changes to our policy stance. Nonetheless, with policy in restrictive territory, the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance." Going on to say the inflation impact from tariffs may be short lived. Odds of September rate cut rose as did the odds for three cuts this year. Bond yields dropped, equities and gold rose. USD surprisingly only down a touch. Adding to positive sentiment – Canada announced it will remove any retaliatory tariffs on the US that were compliant with the USMCA free trade agreement. Carney softening his previous tough stance on trade policy.SPI up 84 - Results drop - ANN - PLS - REH - NHF - BENWant to invest with Marcus Today? The Managed Strategy Portfolio is designed for investors seeking exposure to our strategy while we do the hard work for you. If you’re looking for personal financial advice, our friends at Clime Investment Management can help. Their team of licensed advisers operates across most states, offering tailored financial planning services.  Why not sign up for a free trial? Gain access to expert insights, research, and analysis to become a better investor.