From CNBC's "Stock futures rise as Wall Street awaits Fed Chair Powell’s speech" posted early Wednesday:
Stock futures rose Wednesday as Wall Street awaits a speech from Federal Reserve Chair Jerome Powell...
Powell will give a speech at the Brookings Institution that may give insight into the central bank’s thinking on future increases. The Fed is slated to meet next week and is largely expected to deliver a smaller 0.5 percentage point rate hike after four consecutive 0.75 percentage point increases to tame high inflation. A pause in rate hikes, or a pivot would likely send markets higher.
“This is a Fed-made recession, so eventually when he does pivot, the market should move higher pretty quickly,” said Steve Grasso, CEO of Grasso Global, on CNBC’s “Fast Money.”
Charts: Yahoo!Finance sees a bearish Intermediate-term KST pattern. Max pain moves to $145 (down $2) with a call mountain at $150 (down $5) and a put peak at $135 (down $10).
And the silver lining: Apple once more got to buy back a LOT of very, very cheap AAPL this week, and possibly more in the days ahead, feathering the nests of long term Apple investors. Our thanks once again to the weak hands!
I swear to goodness, if the market insists on keeping the price this low, Apple needs to seriously consider blowing way past net cash zero and converting a huge chunk of that balancing cash into more buybacks. What a massive windfall for those of us who have held Apple long term!
I’m beginning to think that Donna and I might eventually become wealthy, just by continuing to be relatively circumspect in our spending habits. And we’ve basically been retired and on fixed income since we both lost our jobs in the Great Recession!
I am so glad I took his advice
From Yahoo! Finance:
“ Federal Reserve Chair Jerome Powell set the table for a 50-basis point rate hike at the Fed’s December policy meeting, saying in a speech on Wednesday it makes sense to “moderate” rate hikes as the Fed approaches its estimated peak in benchmark interest rates.
“It makes sense to moderate the pace of our rate increases as we approach the level of restraint that will be sufficient to bring inflation down,” Powell said in a speech at the Brookings Institution in Washington. “The time for moderating the pace of rate increases may come as soon as the December meeting.”
Powell added: “The full effects of our rapid tightening so far are yet to be felt.” “
finance dot yahoo dot com /news/powell-december-signals-50-basis-points-183019709.html
“And AAPL, predictably flat till the speech…”
Yep. I think we need to rename AAPL the “Vomit Comet”. Volume about tripled after the speech.