US Market Wrap
- Small moves were seen in stocks, bonds, and the dollar at the start of a busy week for major central banks, whose rate decisions will set the tone for global markets for the rest of the year.
- The S&P 500 finished near 4,450. Brent oil pared gains after nearly reaching $95 per barrel earlier Monday, adding to inflation concerns. Apple Inc. rose, while Tesla Inc. fell after Goldman Sachs Group Inc. cut its earnings forecast for the electric-vehicle giant. Treasury 10-year yields fell slightly, while two-year yields remained above 5%.
- Monetary policy will be determined at key meetings across half of the Group of 20 starting with the Federal Reserve on Wednesday and ending with the Bank of Japan two days later. As global policymakers adapt to the theme set out by US officials in Jackson Hole in August, advanced-economy central banks may receive special attention. Rates are likely to remain higher for a longer period of time.
- With the Fed widely expected to hold rates steady this week, traders' attention will be drawn to the so-called dot plot summary of economic forecasts. The two main questions are whether policymakers will stick to their forecast of one more 25 basis-point hike by year's end, and how much easing they expect in 2024. In June, they forecasted a one-point reduction.