Transcript:
Tom Vaughan:
Hello, everybody, welcome to Monday, the S&P 500 was down point one 2%. Today, it did have a nice run in the morning, got all the way up to 4186, we’ve been looking for it to close above 4170. It’s first time it actually got above this, but it did not hold ended up falling back down into the kind of the same range we’ve been in for the last six days prior to this. And we’d like to see it hold above that for a couple of days, I’d love to see it get above 4200. And close and stay above that.
And we might be seeing a rally back to some great new highs here at some point in time. Having said that, really the markets not going to go anywhere, in my opinion until Wednesday’s numbers come out the the CPI inflation number on Wednesdays sort of turning into like the Super Bowl for the stock market right now, a lot of people are anticipating what’s going to happen there. And so if you recall from last month, the headline inflation including, all the different pieces was up 9.1%. For the month of June versus last June, the expectations this time will actually be down 8.7%. Again, gas prices have come down in July.
So that should help that now the core inflation where you take out food and energy was at 5.9% last month that’s expected to grow to 6%. So these are all important pieces that we’ll find out throughout this week. And we’ll be able to maybe see how the Federal Reserve might react to this and how the market reacts. So theoretically, if the if the inflation number comes out higher than expected, like it did back in the middle of June, the market might fall. If inflation comes out lower expected. Maybe that’s the catalyst to kind of get us through some of these barriers that we’ve been hitting up against for several days.
Again, very interesting. If you look back at the report, just before the report in June, we went in the same exact range that right now for eight days in a row. Right now we’re in the same range for seven days tomorrow probably stay in that range before the report have the same eight day cycle before the report comes out. This is what we’re waiting for now. Markets fine is doing okay. Lots of different data points will be coming out regarding inflation, expectations for inflation, cost of labor, all of those things this week. I look forward to seeing what’s going to happen tomorrow. We’ll talk to you then. Thank you.