Do Bulls still have gas in the tank? 22/09/2025

HOT stories for today

US market wrap:

• The stock market logged a strong weekly gain. The S&P 500 and Dow advanced 1.2% and 1%, respectively, over the week. The tech-focused Nasdaq climbed 2.2%, while the small-cap Russell 2000 also leapt 2.2%, marking its seventh consecutive week of increases. These gains followed the Federal Reserve’s decision last week to trim interest rates by a quarter point, its first cut since December. On Friday morning, Donald Trump and Chinese President Xi Jinping held a two-hour discussion centered on trade and TikTok.
• Trump wrote on Truth Social that progress was being made and announced plans to meet Xi face-to-face at the Asia-Pacific Economic Cooperation summit in Korea next month. Meanwhile, the House approved a temporary funding measure to keep the government open until late November. However, it lacked sufficient support in the Senate, and Democrats were unable to put forward an alternative that could pass. Lawmakers will have just two working days to finalize a budget when they return before the deadline expires.
   

Wall Street waits on PCE: Inflation Test Looms

• The U.S. personal consumption expenditures (PCE) price index for August will be released Friday, and the Federal Reserve hopes it comes in at or below economists’ 2.8% annual forecast; a hotter reading could raise fears that last week’s quarter-point rate cut was premature and might let inflation regain a foothold. Yields on the 10-year and 30-year Treasuries climbed after the cut, a paradoxical move, since they usually follow interest-rate direction. However, bond yields are also shaped by government borrowing and fiscal policy, suggesting that markets doubt the economy warrants easing. 
• Equities, however, appeared unfazed: the S&P 500 and Dow Jones Industrial Average both closed Friday at record highs, and all three major indexes ended the week strong, with the Nasdaq Composite up 2.2%. Hindsight sharpens perspective, fueling either a smug “I told you so” or a sleepless 2 a.m. regret. For the Fed, the hope is that hindsight reads 2.8% on 2.8%.

Stocks on the move:

• Brighthouse Financial (BHF): Shares of the insurer skyrocketed 26% after Bloomberg, citing sources, reported that a consortium led by Aquarian Holdings is in discussions to acquire Brighthouse Financial for between $65 and $70 per share.
• Scholastic (SCHL): The publisher’s stock slid nearly 11% after reporting a fiscal first-quarter loss of $2.52 per share, excluding one-time items, compared with a $2.13-per-share loss in the same quarter last year.
• Newmont (NEM), Orla Mining (ORLA): The two miners diverged after Newmont revealed it had sold its stake in Orla for $439 million. Newmont gained more than 4%, while Orla dropped roughly 7%.
• SolarEdge Technologies (SEDG): The solar equipment maker added 4%, extending its rally to 24% for the week. The upswing followed the Federal Reserve’s rate cut on Wednesday, as renewable energy stocks often benefit from looser monetary policy that makes financing more accessible.

Watchlist: SEDG, NVDA, INTC, META, AAPL, TSLA, RBLX, RDDT

Today’s action

• Asia-Pacific equities traded mixed Monday after Wall Street’s gains on Friday, as investors digested China’s latest lending rate decision. China’s CSI 300 opened flat after the People’s Bank of China left its loan prime rates (LPR) unchanged for the fourth straight month, matching expectations from a Reuters survey. The hold came just days after the U.S. Federal Reserve cut its benchmark rate by 25 basis points. Hong Kong’s Hang Seng Index slipped 1%, while the Hang Seng Tech Index dropped 1.18%. In Japan, the Nikkei 225 jumped 1.28% and the Topix rose 0.8%.
• Meanwhile, U.S. stock futures edged lower Sunday evening after a strong week that saw the Dow Jones Industrial Average and S&P 500 notch fresh record closes. Dow futures dipped 51 points, or 0.11%, while S&P 500 and Nasdaq 100 futures slipped 0.13% and 0.15%, respectively. No major U.S. economic reports are scheduled for today, but a slate of FOMC members is set to deliver remarks.

Bitcoin

• Bitcoin (BTC $114,496.20) is flashing bearish signals, having formed an indecisive Doji candle near a key resistance, the trendline connecting the 2017 and 2021 bull-market highs, in the week ended Sept. 21.
• The pattern highlights fading momentum among buyers, even as the U.S. dollar index carves out a bullish setup at significant support. Ethereum (ETH) broke lower from a tightening price range, while Ripple’s XRP (XRP) saw its weekly MACD flip bearish.
  Watchlist: Bitcoin: 99 000-125 000, Ethereum: 4000-4980, Solana: 160-214
   

Forex

• EUR/USD fell to around 1.1730 in early Europe Monday, its fourth straight daily loss, as the dollar stayed firm after the Fed’s rate cut and hints of gradual easing. Traders now look to Eurozone consumer confidence and Fed speak for direction.
• USD/JPY touched a two-week high with the yen pressured by BoJ policy uncertainty and political headwinds. At the same time, steady U.S. dollar demand and a positive risk tone kept the safe-haven currency under pressure
  Watchlist: EUR/USD: 1.0700-1.1880, USD/JPY: 140-151

Basic Materials

• Gold (XAU/USD) rose for a second straight session on Monday, nearing $3,700 in Asia. The Fed’s dovish outlook and geopolitical tensions are lifting demand, though a stronger dollar and firmer risk sentiment could cap gains.
• WTI Crude Oil hovered near $63.20 in early Asian trade, supported by geopolitical risks in Europe and the Middle East. Persistent oversupply and weak U.S. demand may limit further upside ahead of Tuesday’s API inventory report.
  Watchlist: GOLD: 2600-3780, US Oil: 55.60-75.80

Key Economic Events Today:

EST time

09:45 am: USD FOMC Member Williams Speaks
10:00 am: USD FOMC Member Musalem Speaks
12:00 pm: USD FOMC Member Barkin, Hammack Speaks


Earnings

BMO (Before Market Open):

No major earnings report today



The TEFS Analyst team wishes you a successful day!