{"id":18675,"date":"2025-08-23T16:39:12","date_gmt":"2025-08-23T16:39:12","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/18675\/"},"modified":"2025-08-23T16:39:12","modified_gmt":"2025-08-23T16:39:12","slug":"stocks-surge-after-powell-signals-possible-rate-cuts-dow-jumps-850-points-to-1st-record-close-of-2025","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/18675\/","title":{"rendered":"Stocks Surge After Powell Signals Possible Rate Cuts; Dow Jumps 850 Points to 1st Record Close of 2025"},"content":{"rendered":"<p><strong>Biggest S&amp;P 500 Movers on Friday<\/strong><\/p>\n<p>18 hr 31 min ago<\/p>\n<p id=\"mntl-sc-block_15-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> <strong>Advancers<\/strong>\n<\/p>\n<ul id=\"mntl-sc-block_16-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\">\n<li>The likelihood of lower borrowing costs helped boost solar stocks, with shares of solar microinverter and battery storage specialist<strong> Enphase Energy<\/strong> (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=enph\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">ENPH<\/a>) soaring 10.4% to post the best performance of any stock in the benchmark index.<\/li>\n<li>Fed Chair Powell&#8217;s openness to near-term rate reductions also came as welcome news to companies with exposure to the housing market, which could see accelerated growth as mortgage rates retreat. Shares of <strong>Builders FirstSource<\/strong> (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=bldr\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">BLDR<\/a>), a major supplier of residential construction materials, jumped 8.4%. Shares of flooring supplier <strong>Mohawk Industries<\/strong> (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=mhk\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"3\" rel=\"nofollow noopener\" target=\"_blank\">MHK<\/a>) were up 7.3%.<\/li>\n<li>Travel industry stocks also gained ground as a decline in borrowing costs could encourage consumers to increase their discretionary spending. Shares of cruise operators <strong>Norwegian Cruise Line Holdings<\/strong> (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=nclh\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"4\" rel=\"nofollow noopener\" target=\"_blank\">NCLH<\/a>) and <strong>Carnival <\/strong>(<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=ccl\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"5\" rel=\"nofollow noopener\" target=\"_blank\">CCL<\/a>) advanced around 7%, while airline stocks also moved higher.<\/li>\n<\/ul>\n<p> A Carnival Cruise liner leaving Sydney Harbor in June.<\/p>\n<p>Steve Christo \/ Corbis\/ Getty Images<\/p>\n<p id=\"mntl-sc-block_18-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> <strong>Decliners<\/strong>\n<\/p>\n<ul id=\"mntl-sc-block_19-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\">\n<li><strong>Intuit<\/strong> (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=intu\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">INTU<\/a>)\u00a0shares tumbled 5%, suffering the heaviest daily decline in the S&amp;P 500, after the maker of tax and accounting software provided a\u00a0<a href=\"https:\/\/www.investopedia.com\/intuit-stock-sinks-on-disappointing-outlook-after-weak-mailchimp-turbotax-results-11795778\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">weaker-than-expected outlook<\/a>\u00a0for the current quarter and the full year. The company pointed to soft demand for its MailChimp marketing platform and lower average revenue per user from TurboTax. The outlook overshadowed strong quarterly results, as Intuit beat quarterly sales and adjusted profit estimates, highlighting the contribution of its AI agents.<\/li>\n<li>Major railroad operator and rail-to-truck transloader <strong>CSX<\/strong> (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=csx\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"3\" rel=\"nofollow noopener\" target=\"_blank\">CSX<\/a>) announced a coast-to-coast intermodal partnership with BNSF Railway, a subsidiary of Berkshire Hathaway (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=BRK.A\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"4\" rel=\"nofollow noopener\" target=\"_blank\">BRK.A<\/a>,\u00a0<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=BRK.B\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"5\" rel=\"nofollow noopener\" target=\"_blank\">BRK.B<\/a>). The move comes a few weeks after Union Pacific (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=unp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"6\" rel=\"nofollow noopener\" target=\"_blank\">UNP<\/a>) and Norfolk Southern (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=nsc\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"7\" rel=\"nofollow noopener\" target=\"_blank\">NSC<\/a>)\u00a0<a href=\"https:\/\/www.investopedia.com\/union-pacific-to-acquire-norfolk-southern-in-85-billion-stock-cash-rail-merger-11780753\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"8\" rel=\"nofollow noopener\" target=\"_blank\">agreed to a merger<\/a>\u00a0that would create the first transcontinental U.S. railroad, with CSX facing pressure from an activist investor to explore a potential deal of its own. CSX stock dropped 3.6% on Friday.<\/li>\n<li>Shares of enterprise resource planning software provider <strong>Workday<\/strong> (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=wday\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"9\" rel=\"nofollow noopener\" target=\"_blank\">WDAY<\/a>) fell 2.8%. Although the company topped revenue estimates and edged out revenue expectations for its fiscal second quarter, its guidance for subscription revenue and operating margin in the current quarter came in below consensus forecasts. Workday&#8217;s CEO pointed to challenges facing the company&#8217;s government and education businesses as customers navigate funding cuts.<\/li>\n<\/ul>\n<p id=\"mntl-sc-block_20-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.investopedia.com\/contributors\/58207\/\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Michael Bromberg<\/a>\n<\/p>\n<p><strong>Here Are The Stocks Set to Benefit From Lower Rates<\/strong><\/p>\n<p>19 hr 47 min ago<\/p>\n<p id=\"mntl-sc-block_21-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Each of the major indexes finished the day sharply higher, led by a gain of nearly 4% for the Russell 2000 small-cap index, which closed at its highest level of 2025. Stocks that are particularly sensitive to rate cuts led the move higher.\n<\/p>\n<p id=\"mntl-sc-block_22-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> \u201cOur view is to expect a September rate cut and sectors that should benefit the most include home construction, small caps and banks,\u201d said Larry Tentarelli, Chief Technical Strategist for Blue Chip Daily Trend Report.<strong>\u00a0<\/strong>\n<\/p>\n<p id=\"mntl-sc-block_23-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The DowJones Industrial Average, which hit its first record closing high since December, was led by stocks in the industrial and financial sectors. Construction equipment maker Caterpillar (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=CAT\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">CAT<\/a>) and investment bank Goldman Sachs (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=GS\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">GS<\/a>) each rose about 4%, as both companies are expected to benefit from the stimulative effects of lower interest rates. Capital-intensive construction projects should pick up as borrowing costs decline, all else equal. Lower interest rates should also stimulate activity in capital markets, from which Goldman can expect to collect higher fees.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_24-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The S&amp;P 500 was similarly led by companies that will benefit from increased industrial and residential construction activity. Shares of construction equipment supplier Builders FirstSource (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=BLDR\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">BLDR<\/a>) jumped 8% and flooring supplier Mohawk Industries (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=MHK\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">MHK<\/a>) added 7% on Friday.\n<\/p>\n<p id=\"mntl-sc-block_25-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Elevated interest rates have kept the U.S. housing market\u00a0<a href=\"https:\/\/www.investopedia.com\/homebuilders-were-busy-in-july-but-is-it-enough-to-revive-u-s-housing-market-11793674\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">in a deep freeze<\/a>\u00a0for much of the last three years. Most new home buyers are priced out of the market by sky-high prices and the highest borrowing costs in more than a decade. Meanwhile, existing homeowners, many of whom locked in rock-bottom mortgage rates during the pandemic, have been reluctant to sell. That\u2019s depressed homebuying and renovation activity.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_26-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Shares of homebuilders soared in anticipation of a home-buying rebound. Pultegroup (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=PHM\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">PHM<\/a>), D.R. Horton (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=DHI\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">DHI<\/a>), and Lennar (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=LEN\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"3\" rel=\"nofollow noopener\" target=\"_blank\">LEN<\/a>) each rose more than 5%.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_27-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Small-cap stocks are also\u00a0<a href=\"https:\/\/www.investopedia.com\/interest-rate-cut-buzz-is-fueling-a-small-cap-stock-comeback-11790554\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">expected to benefit<\/a>\u00a0from lower rates.\u00a0Smaller companies are more likely to hold\u00a0<a href=\"https:\/\/www.investopedia.com\/terms\/f\/floatinginterestrate.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">floating-rate debt<\/a>\u00a0than larger competitors, making their margins more susceptible to compression when interest rates increase. For the same reason, they benefit more when rates decrease.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_28-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> According to Bank of America equities analyst Jill Carey Hall, history suggests that small-cap stocks outperform large caps most when rate cuts coincide with a recession. \u201cPerformance\u00a0has been\u00a0more mixed in non-recessionary cutting cycles,\u201d Hall wrote in a note on Wednesday.\n<\/p>\n<p id=\"mntl-sc-block_29-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> However, small caps today are more sensitive to interest rates and face more refinancing risk than they have historically, according to Hall. That means that, assuming economic conditions don\u2019t deteriorate much further, small-cap stocks could respond especially well to forthcoming rate cuts.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_30-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.investopedia.com\/colin-laidley-5218536\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Colin Laidley<\/a>\n<\/p>\n<p><strong>Nio Jumps on Optimism About SUV Challenge to Tesla<\/strong><\/p>\n<p>21 hr 1 min ago<\/p>\n<p id=\"mntl-sc-block_31-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Shares of Nio (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=NIO\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">NIO<\/a>) soared Friday amid optimism about the unveiling this week of the Chinese EV maker&#8217;s new ES8, its\u00a0SUV challenger to the Tesla (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=TSLA\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">TSLA<\/a>) Model Y L.\n<\/p>\n<p id=\"mntl-sc-block_32-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Nio said that the six- and seven-seat Executive Premium Edition versions of the ES8 would be priced starting at 416,800 Chinese yuan ($58,122), but would be much lower at 308,800 yuan ($43,062) for buyers who also sign up for the NIO Batter-as-a-Service (BaaS) battery subscription service. The cost for the Executive Signature Edition begins at 456,800 yuan ($63,700), or 348,800 yuan ($48,640) with the BaaS plan.\n<\/p>\n<p id=\"mntl-sc-block_33-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Nio noted that the new ES8 is the largest electric SUV made in China. It said the model &#8220;sets a new benchmark in the premium BEV segment and leads the way for large three-row SUVs to the all-electric era.&#8221; The official launch is set for late September.\n<\/p>\n<p id=\"mntl-sc-block_34-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> <a href=\"https:\/\/www.investopedia.com\/terms\/a\/adr.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">U.S.-listed shares<\/a>\u00a0of Nio traded in negative territory much of the year, but excitement over the ES8 has sent shares soaring. The stock was up 16% in late trading Friday, after gaining 9% yesterday.\n<\/p>\n<p> Nio shares have now gained nearly 50% in 2025 and are trading at their highest level since last October.<\/p>\n<p>TradingView<\/p>\n<p id=\"mntl-sc-block_36-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.investopedia.com\/bill-mccoll-5186338\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Bill McColl<\/a>\n<\/p>\n<p><strong>Trump Says Intel Agrees to Sell 10% Stake to Government<\/strong><\/p>\n<p>21 hr 33 min ago<\/p>\n<p id=\"mntl-sc-block_37-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Intel (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=INTC\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">INTC<\/a>) stock surged Friday as President Donald Trump said the struggling chipmaker had agreed to allow the U.S. government to take a 10% stake.\n<\/p>\n<p id=\"mntl-sc-block_38-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> At a press gathering in the Oval Office announcing the World Cup draw, Trump said of Intel, &#8220;They&#8217;ve agreed to do it, and I think it&#8217;s a great deal for them.&#8221;\n<\/p>\n<p id=\"mntl-sc-block_39-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Citing people familiar with the matter,\u00a0Bloomberg\u00a0reported earlier Friday that the Trump administration and Intel were set to announce details today of an agreement that would see the U.S. take a stake in the company. The news outlet said that although details weren&#8217;t clear, &#8220;Talks had focused on converting grants under the\u00a0<a href=\"https:\/\/www.investopedia.com\/chips-and-science-act-6500333\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Chips and Science Act<\/a>\u00a0into an equity stake of about 10% for the government.&#8221;\n<\/p>\n<p> Intel CEO Lip-Bu Tan leaving the White House on earlier this month following a meeting with President Trump.<\/p>\n<p>Alex Wroblewski \/ Bloomberg \/ Getty Images<\/p>\n<p id=\"mntl-sc-block_41-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Bloomberg noted that the U.S. taking a stake in the once-storied chipmaker would mark a noteworthy departure from the practice of the government only stepping in during times of extreme stress. Intel declined to comment.\n<\/p>\n<p id=\"mntl-sc-block_42-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Intel shares were up roughly 7% in recent trading. With Friday&#8217;s gains, the stock has added a quarter of its value in 2025.\n<\/p>\n<p id=\"mntl-sc-block_43-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2025-08-22\/trump-poised-to-unveil-intel-deal-for-equity-stake-on-friday\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"externalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Aaron Rennie<\/a>\n<\/p>\n<p><strong>Reasons to Stay Bullish on AI Stocks<\/strong><\/p>\n<p>23 hr 5 min ago<\/p>\n<p id=\"mntl-sc-block_44-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Big tech stocks slid throughout most of the week amid a risk-off pivot, but some analysts say there are several structural reasons to remain bullish on tech giants.\n<\/p>\n<p id=\"mntl-sc-block_45-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The Roundhill Magnificent Seven ETF (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=MAGS\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">MAGS<\/a>) shed about 3.5% over the first four days of the week amid growing concerns about an AI bubble. (The ETF recouped most of its losses on Friday as\u00a0stocks rallied\u00a0on optimism about impending rate cuts.) A recent MIT study found that 95% of companies surveyed reported no material return on their AI investments. OpenAI&#8217;s Sam Altman late last week reportedly said he thought investors had become &#8220;overexcited&#8221; about AI.\n<\/p>\n<p id=\"mntl-sc-block_46-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Reports that Commerce Secretary Howard Lutnick expressed interest in the U.S. government converting all CHIPS Act grants into equity added to tech stock jitters.\n<\/p>\n<p id=\"mntl-sc-block_47-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> But according to a Morgan Stanley analysis of 13-F filings, the largest active institutional money managers are more underweight mega-cap tech stocks than at any other point in the last 16 years. The mega caps followed by Morgan Stanley\u2014Nvidia (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=NVDA\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">NVDA<\/a>), Microsoft (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=MSFT\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">MSFT<\/a>), Apple (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=AAPL\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"3\" rel=\"nofollow noopener\" target=\"_blank\">AAPL<\/a>), Amazon (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=AMZN\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"4\" rel=\"nofollow noopener\" target=\"_blank\">AMZN<\/a>), Alphabet (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=GOOGL\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"5\" rel=\"nofollow noopener\" target=\"_blank\">GOOGL<\/a>), and Meta Platforms (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=META\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"6\" rel=\"nofollow noopener\" target=\"_blank\">META<\/a>)\u2014were under-owned relative to their S&amp;P 500 weight by an average of 140\u00a0<a href=\"https:\/\/www.investopedia.com\/terms\/b\/basispoint.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"7\" rel=\"nofollow noopener\" target=\"_blank\">basis points<\/a>\u00a0at the end of the second quarter, a 24-basis-point increase from Q1.\n<\/p>\n<p id=\"mntl-sc-block_48-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Nvidia, which became the world\u2019s\u00a0<a href=\"https:\/\/www.investopedia.com\/nvidia-s-market-cap-hit-usd4-trillion-for-the-first-time-today-11768892\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">first $4 trillion company<\/a>\u00a0in early July, is the most under-owned of the bunch; its weight in institutional portfolios is about 2.4 percentage points below its weight in the\u00a0<a href=\"https:\/\/www.investopedia.com\/terms\/s\/sp500.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">S&amp;P 500<\/a>. Microsoft (2.39%), Apple (1.66%), and Amazon (1.4%) are also significantly under-owned.\n<\/p>\n<p id=\"mntl-sc-block_49-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> According to Morgan Stanley, &#8220;after adjusting for market cap and earnings beats, there is a statistically significant relationship between low active ownership relative to the S&amp;P 500 and future stock performance.&#8221; That is, stocks that are being given short shrift by institutional investors tend to rise.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_50-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Retail investors also don&#8217;t appear to be worryingly optimistic. The latest American Association of Individual Investors sentiment survey showed bullish sentiment has declined by nearly 10 percentage points over the last four weekly readings. Over the same period, bearish sentiment among survey respondents increased to nearly 45% from 33%.\n<\/p>\n<p id=\"mntl-sc-block_51-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8220;While some near-term tech volatility is not surprising given the run-up in valuations, we advise investors against becoming overly defensive for several reasons,&#8221; wrote UBS analysts in a note Thursday.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_52-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> First, tech earnings were very strong in the second quarter. The majority of tech companies beat sales and earnings estimates, and forward guidance, which tends to decline throughout the reporting season, held up. Cloud revenue grew by an average of more than 25% at the three largest providers.\n<\/p>\n<p id=\"mntl-sc-block_53-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> In addition, internet and software companies are expected to continue to benefit from AI integrations. While AI revenue growth hasn&#8217;t quite kept up with investments, &#8220;we are seeing encouraging signs of progress as more companies embed AI into core products and services,&#8221; the analysts wrote.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_54-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.investopedia.com\/colin-laidley-5218536\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Colin Laidley<\/a>\n<\/p>\n<p><strong>Traders Once Again Convinced of September Rate Cut<\/strong><\/p>\n<p>August 22, 2025 12:36 PM EDT<\/p>\n<p id=\"mntl-sc-block_55-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The odds of a September rate cut jumped Friday after Federal Reserve Chair Jerome Powell\u00a0<a href=\"https:\/\/www.investopedia.com\/fed-chair-powell-keeps-september-rate-cut-on-the-table-11795858\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">struck a dovish tone<\/a>\u00a0in his speech at the central bank\u2019s annual Jackson Hole Symposium.\n<\/p>\n<p id=\"mntl-sc-block_56-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> According to federal funds futures trading data, traders now see a nearly 90% chance the Fed lowers rates by 25 basis points on Sept. 17, up from 75% yesterday. Traders had scaled back their expectations of a cut in the past week after disappointing inflation data.\n<\/p>\n<p id=\"mntl-sc-block_57-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> \u201cWith policy in restrictive territory, the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance,\u201d Powell said, signaling the Fed is open to resuming interest rate cuts after about nine months on hold.\n<\/p>\n<p> Powell poses after delivering his highly anticipated speech with (from left to right) Bank of England Governor Andrew Bailey, ECB President Christine Lagarde, and Bank of Japan Governor Kazuo Ueda.<\/p>\n<p>Natalie Behring \/ Getty Images<\/p>\n<p id=\"mntl-sc-block_59-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Treasury\u00a0<a href=\"https:\/\/www.investopedia.com\/terms\/t\/treasury-yield.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">yields<\/a>\u00a0tumbled following Powell\u2019s comments. The yield on the\u00a0<a href=\"https:\/\/www.investopedia.com\/terms\/t\/treasury-yield.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">10-year Treasury note<\/a>, which influences the interest charged on all kinds of consumer loans, dropped as much as 9 basis points to 4.24%. The benchmark yield has seesawed between 4% and 4.5% for most of the year as investors, like the Fed, waited to see how President Trump\u2019s tariff policies would affect the economy.\n<\/p>\n<p id=\"mntl-sc-block_60-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The Fed faces what Powell called \u201ca challenging situation,\u201d with tariffs threatening to raise prices, as evidenced by last week\u2019s\u00a0<a href=\"https:\/\/www.investopedia.com\/is-tariff-driven-inflation-now-in-the-pipeline-11790928\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">hot wholesale inflation report<\/a>, and policymakers aren\u2019t sure whether tariffs will cause a one-time price increase or sustained inflation.\u00a0\n<\/p>\n<p id=\"mntl-sc-block_61-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> At the same time, slowing growth and macroeconomic uncertainty appear to be weighing on job growth, increasing the risk that layoffs and unemployment rise. But the White House\u2019s immigration policies have also decreased the supply of workers, keeping the labor market in \u201ca curious kind of balance,&#8221; said Powell.\n<\/p>\n<p id=\"mntl-sc-block_62-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.investopedia.com\/colin-laidley-5218536\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Colin Laidley<\/a>\n<\/p>\n<p><strong>Just Like That, Major Indexes on Track for Weekly Gains<\/strong><\/p>\n<p>August 22, 2025 11:28 AM EDT<\/p>\n<p id=\"mntl-sc-block_63-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Stocks had been under pressure all week as investors braced for what Fed Chair Jerome Powell had to say about interest rates, leaving major indexes solidly in the red for the week coming into today&#8217;s session.\n<\/p>\n<p id=\"mntl-sc-block_64-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Now that Powell has indicated a rate cut is possible at the Fed&#8217;s next policy meeting in September, the S&amp;P 500 and the Dow Jones Industrial Average are on track for record closing highs and set to post gains for the third consecutive week.\n<\/p>\n<p id=\"mntl-sc-block_65-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> As of 11:00 a.m. ET, the Dow was up 1.6% for the week and the S&amp;P 500 had gained 0.4%. The Nasdaq Composite was down 0.5% for the week, as tech stocks bore the brunt of the selling for much of the week.\n<\/p>\n<p> The S&amp;P 500 and Nasdaq Composite have each gained more than 10% since the start of 2025.<\/p>\n<p>TradingView<\/p>\n<p><strong>Intuit Stock Sinks on Disappointing Results<\/strong><\/p>\n<p>August 22, 2025 09:47 AM EDT<\/p>\n<p id=\"mntl-sc-block_67-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Intuit (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=INTU\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">INTU<\/a>) shares tumbled in early trading after the maker of tax and accounting software gave weaker-than-anticipated guidance on soft demand for its MailChimp marketing platform and TurboTax tax filing program.\n<\/p>\n<p id=\"mntl-sc-block_68-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The firm that also owns QuickBooks and Credit Karma sees fiscal 2026 first-quarter\u00a0<a href=\"https:\/\/www.investopedia.com\/terms\/g\/gaap.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">GAAP<\/a>\u00a0earnings per share (EPS) of $1.19 to $1.26 and revenue growth of 14% to 15%. Analysts surveyed by Visible Alpha were looking for EPS of $1.31 and revenue 16.2% higher. In addition, Intuit&#8217;s full-year EPS projection of $15.49 to $15.69 was short of forecasts.\n<\/p>\n<p id=\"mntl-sc-block_69-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The outlook offset strong fiscal 2025 fourth-quarter results. Intuit posted adjusted EPS of $2.75 on revenue that increased 20% year-over-year to $3.83 billion, with both beating estimates. CEO Sasan Goodarzi pointed to\u00a0<a href=\"https:\/\/www.investopedia.com\/terms\/a\/artificial-intelligence-ai.asp\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">artificial intelligence<\/a>\u00a0for the gains, noting the use of the company&#8217;s &#8220;virtual team of AI agents and AI-enabled human experts.&#8221;\n<\/p>\n<p id=\"mntl-sc-block_70-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Intuit noted that revenue at its Global Business Solutions Group gained 18% to $3.0 billion and Online Ecosystem rose 21% to $2.2 billion. However, when MailChimp is excluded, those segments would have advanced 21% and 26%, respectively.\n<\/p>\n<p id=\"mntl-sc-block_71-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> U.S. TurboTax units fell 2% to 39.2 million, which the company said was &#8220;due to yielding share with lower ARPR customers.&#8221; ARPR, or Average Revenue Per Return, refers to the money Intuit gets when a customer uses its tax software.\n<\/p>\n<p id=\"mntl-sc-block_72-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Intuit shares were down nearly 7% in recent trading, pacing decliners in the S&amp;P 500. Heading into today&#8217;s session, the stock was up 11% year-to-date.\n<\/p>\n<p id=\"mntl-sc-block_73-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.investopedia.com\/bill-mccoll-5186338\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Bill McColl<\/a>\n<\/p>\n<p><strong>Nvidia Halts China Chip Production, Reports Say<\/strong><\/p>\n<p>August 22, 2025 09:30 AM EDT<\/p>\n<p id=\"mntl-sc-block_74-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Nvidia (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=NVDA\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">NVDA<\/a>) reportedly has told suppliers to suspend production of its H20 chip, after Beijing asked local firms to avoid using the chip tailored for the Chinese market due to security concerns.\n<\/p>\n<p id=\"mntl-sc-block_75-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Citing unidentified sources,\u00a0The Information\u00a0reported that Nvidia has instructed Samsung Electronics and Amkor Technology to halt production of the H20 chip, which are less powerful than its latest semiconductors.\u00a0Reuters\u00a0separately reported that Nvidia had asked Foxconn to suspend work related to the H20 chips.\u00a0Foxconn, Samsung, and Amkor didn&#8217;t immediately respond to requests for comment.\n<\/p>\n<p id=\"mntl-sc-block_76-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8220;We constantly manage our supply chain to address market conditions,&#8221; an Nvidia spokesperson told\u00a0Investopedia.\n<\/p>\n<p> Nvidia CEO Jensen Huang speaking at an event in Beijing last month.<\/p>\n<p>Andrea Verdelli \/ Bloomberg \/ Getty Images<\/p>\n<p id=\"mntl-sc-block_78-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Last month, Nvidia and rival Advanced Micro Devices (<a href=\"https:\/\/www.investopedia.com\/markets\/quote?tvwidgetsymbol=AMD\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">AMD<\/a>) were given approval from the Trump administration to\u00a0<a href=\"https:\/\/www.investopedia.com\/nvidia-stock-jumps-as-chipmaker-plans-to-resume-sales-of-key-ai-chip-to-china-11772209\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"2\" rel=\"nofollow noopener\" target=\"_blank\">resume sales of key AI chips to China<\/a>, with the condition that they pay 15% of their chip revenue generated there to the U.S. government in exchange for the export licenses. Beijing reportedly has raised concerns that the Nvidia chips contained &#8220;backdoors,&#8221; allowing remote access to or control of the chips, a charge the tech firm has denied.\n<\/p>\n<p id=\"mntl-sc-block_79-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8220;As both governments recognize, the H20 is not a military product or for government infrastructure. China won&#8217;t rely on American chips for government operations, just like the U.S. government would not rely on chips from China,&#8221; the Nvidia spokesperson said. &#8220;However, allowing U.S. chips for beneficial commercial business use is good for everyone.&#8221;\n<\/p>\n<p id=\"mntl-sc-block_80-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> The spokesperson added, &#8220;Cybersecurity is critically important to us. NVIDIA does not have &#8216;backdoors&#8217; in our chips that would give anyone a remote way to access or control them. The market can use the H20 with confidence.&#8221;\n<\/p>\n<p id=\"mntl-sc-block_81-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> China is a key market for Nvidia. The chipmaker\u00a0<a href=\"https:\/\/www.investopedia.com\/nvidia-earnings-live-coverage-q1-fy2026-11743538\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">said in May<\/a>\u00a0that it took a $4.5 billion charge in the first quarter due to export curbs on H20 chips to the Asian country.\n<\/p>\n<p id=\"mntl-sc-block_82-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Nvidia shares, which entered Friday up 30% this year, were down about 1% in premarket trading.\n<\/p>\n<p id=\"mntl-sc-block_83-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> &#8211;<a href=\"https:\/\/www.investopedia.com\/nisha-gopalan-8424025\" data-component=\"link\" data-source=\"inlineLink\" data-type=\"internalLink\" data-ordinal=\"1\" rel=\"nofollow noopener\" target=\"_blank\">Nisha Gopalan<\/a>\n<\/p>\n<p><strong>Futures Point to Slightly Higher Open for Major Indexes<\/strong><\/p>\n<p>August 22, 2025 09:30 AM EDT<\/p>\n<p id=\"mntl-sc-block_84-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Futures tied to the Dow Jones Industrial Average were up 0.3%.\n<\/p>\n<p>TradingView<\/p>\n<p id=\"mntl-sc-block_86-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> S&amp;P 500 futures added 0.2%.\n<\/p>\n<p>TradingView<\/p>\n<p id=\"mntl-sc-block_88-0\" class=\"comp mntl-sc-block finance-sc-block-html mntl-sc-block-html\"> Nasdaq 100 futures also rose 0.2%.\n<\/p>\n<p>TradingView<\/p>\n","protected":false},"excerpt":{"rendered":"Biggest S&amp;P 500 Movers on Friday 18 hr 31 min ago Advancers The likelihood of lower borrowing costs&hellip;\n","protected":false},"author":2,"featured_media":18676,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[175],"tags":[79,18,19,17,188],"class_list":{"0":"post-18675","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-markets","8":"tag-business","9":"tag-eire","10":"tag-ie","11":"tag-ireland","12":"tag-markets"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/18675","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=18675"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/18675\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/18676"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=18675"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=18675"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=18675"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}