After a sizable rally last week, stocks are mostly marking time this morning. Gold and silver are mixed, Treasuries are flat, and crude oil is a bit lower.
It’s “Game Time” for the Federal Reserve this week, with Fed Chairman Jay Powell traveling to Jackson Hole, Wyoming for a key central banker conference. Policymakers have used the annual Kansas City Fed Symposium time and again to signal important policy shifts and stances to financial markets. Wall Street wants confirmation the Fed WILL start lowering rates in September, and some guidance on whether it’ll be a cut of 25 basis points or 50.
Federal Funds Rate (Upper Limit)
In the lead up to Powell’s Friday speech, several other Fed speakers will share their outlooks today and tomorrow. We’ll also get data on global manufacturing and services sector activity, plus existing and new home sales.
Advanced Micro Devices Inc. (AMD) is bulking up, buying privately held ZT Systems for $4.9 billion to expand the line of products and services it can offer. ZT makes data center equipment like servers, server racks, and associated products. AMD will now have a more complete line of services it can offer to firms looking to build and train their Artificial Intelligence (AI) systems.
Finally, Canada’s Alimentation Couche-Tard Inc. (ANCTF) is reportedly pursuing a buyout of as much as $38 billion for Seven & i Holdings Co. (SVNDY) The Japanese company operates more than 85,000 7-Eleven outlets in its home country and across Asia. Its Canadian suitor runs more than 16,000 stores under the Circle K, Ingo, and other brands in North America and Europe. If Alimentation's bid is successful, it would be the biggest foreign acquisition of a Japanese company.
