MARKET WRAP

Stocks closed out the week on a strong note, with gains across the board and fresh closing highs for the SPY and QQQ, while the IWM climbed back inline with its highs. The market shook off midweek volatility and more negative trade headlines, but liked today’s CPI to finish the week up +2% or so. Next week is a rate decision and a huge portion of the Mag7 reporting. On the day: SPX +0.8%, QQQ +1.0%, and IWM +1.2%.

Elsewhere, yields were quiet after the CPI, with the 10YY remaining at 4.0%. Gold faded slightly but was much less volatile than recent days. Oil as well, with a slight decline today. The VIX finished the week at 16.40, down from 21 on Wednesday.

Notable Gainers: F +14%, COIN +9.7%, ALB +9%, IBM +8.3%, AMD +7.3%, CEG +6.6%, MU +6%, NVDA +2.5%, GOOGL +3%, GS +4.4%

Notable Losers: MMM -3%, DECK -15%, NEM -6.3%, TSLA -3.4%, BKR -3.2%, DIS -1.2%, DKNG -5%

After Hours: There was a tiny bit of selling into the close and that carried over after hours with both SPY and QQQ down a tick.

Today’s RiskReversal Pod: Dan and Guy sit down with Stuart Sopp, CEO and co-founder of Current, for a wide-ranging conversation on the state of the consumer, banking, and markets — touching on rates, inflation, Fed policy, tech bubbles, regional banks, and the evolving world of crypto and stablecoins.

MRKT MATRIX: TODAY’S TOP STORIES

• Dow rises 500 points to record as Friday’s rally on mild inflation data accelerates (CNBC)

• S&P 500 Earnings Season Update (FactSet)

• Goldman Sachs says risks of an equity drawdown are rising as stocks hit another record (CNBC)

• Investors use dotcom era playbook to dodge AI bubble risks (Reuters)

• AMD’s stock pops 7% on report IBM can use its chips for quantum computing error correction (CNBC)

• White House says October inflation data unlikely to be released next month (Reuters)

• Trump tariff tiff: U.S. terminates all trade talks with Canada over Reagan TV ad (CNBC)

• Ontario to pause Reagan tariffs ad after Trump terminated Canada trade talks (CNBC)

WHAT’S NEXT?

The day kicked off with a slightly cooler-than-expected (and delayed) September CPI print, which helped with sentiment into next week’s FOMC meeting — and probably the next few after that. What made today’s action interesting was that it wasn’t just megacaps like NVDA and GOOGL leading — some of the smaller, high-beta momentum names, which had been crushed the past week, saw some fairly significant bounces today (eg COIN +10%). Whether today’s rebound in those names marks the start of another round of beta chasing euphoria remains to be seen.

For the week, things were far from smooth a few days ago as a Wednesday sell-off had the VIX briefly topping 21 before stocks bounced. The rally from Wednesday’s lows to today’s close was about +2%. That accounted from the gains of the week more or less, as the SPX gained roughly +2.1%, the QQQ rose +2.3%, and the IWM with +2.7%. The VIX closed the week back near 16.

Looking ahead, next week is stacked: AMZN, META, GOOGL, AAPL, MSFT, and others all report, alongside the FOMC rate decision. While the cut is basically certain, as always the focus will be on the statement and Powell’s presser. Options are pricing the FOMC next week as the highest volatility day.

We’ll be back this weekend with a full preview of next week’s catalysts and a deeper look at the Mag 7 earnings setup — check your inbox Sunday.

TODAY’S EPISODES

Watch RiskReversal Podcast’s newest episode: Is America’s "Resilient" Consumer Headed for Crisis?

Dan Nathan and Guy Adami are joined by Stuart Sopp, CEO and co-founder of ⁠Current⁠, for a deep dive into the state of the American consumer, banking, and the broader financial markets. The conversation dives into macro topics including interest rates, the Fed, inflation trends, government policy, and labor market shifts. The hosts and guest also tackle pressing questions about the AI-driven market surge, the risks and realities of a modern tech bubble, the robustness of regional banks, and the evolving landscape of crypto and stablecoins. Throughout, Stuart offers unique industry insight backed by real-time data, making for an engaging and timely financial market conversation.​

Learn more about our sponsor Fidelity, CME Group, and iConnections.

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