STOCK EXCHANGE: Quiet opening on Wall Street, Intel on the rise

The US stock markets opened sluggishly on Monday.

Among the main indexes, the S&P 500 was close to the previous decision, the Nasdaq was down 0.7 percent and the Dow Jones was up 0.5 percent.

At the top of the exchanges Nvidia’s the stock started up 2.1 percent and Apple 3.2 percent down. In technology companies, the decline was extensive.

In the semiconductor sector, the prices were in a particularly sharp decline, except for the news about the large contract with the United States Defense Forces Intel (+1,7 %).

The market has long been waiting for the Fed to start the long-awaited interest rate cuts at the September interest rate meeting. The head of the Fed Jerome Powellin comments at the Jackson Hole central bank conference in August virtually guaranteed the start of interest rate cuts in September.

However, the employment data from the United States, which has been slower than expected in recent times, has made the market increasingly expect an even larger one-time decrease in the key interest rate in September.

The market is now pricing in a 63 percent chance that the Fed will cut interest rates at once from a range of 5.25 percent to 5.50 percent to a range of 4.75 percent to 5.00 percent, according to CME futures’ FedWatch tool. The most typical interest rate change is a 0.25 percentage point change in its direction.

“That’s it and that’s it. Powell has not clearly instructed the scale of the bill. It may indicate that the Fed’s Open Market Committee has yet to reach a consensus. Tuesday’s retail figures may also influence the decision,” Rabobankin Senior US Strategist Philip Marey wrote according to Bloomberg.