Daily Market Commentary

Last week ended with Jerome Powell’s less-than-exciting Jackson Hole Symposium speech which left the market in the same state of uncertainty it had been reveling in. Analysts are calling it a Dovish Taper after the Federal Reserve Chairman discussed a potential to resume a scale back of the asset purchase programme this year, however reiterating the risks of moving too soon and also assuring investors that the Fed would not move to substantially tighten monetary policy as it takes its steps to reduce stimulus.
Even amid uncertainty as to economic policy direction, the market has taken solace to the fact that there would not be a “taper tantrum” situation and as such has helped push US interest rates a tad lower and stocks higher. We market to follow this theme in the near term.