Nasdaq: โ1.7% Friday | โ1.5% weekly โ tech profit-taking after a strong run
S&P 500: โ1% Friday | โ0.6% weekly โ still hit a record high Thursday
Dow: โ0.5% Friday | +1% weekly โ rotation into defensives/value
โก๏ธ This already tells us: rotation, not risk-off panic
๐ฆ 1. Trumpโs Fed Chair Pick โ Why Markets Care
With the 25 bps rate cut done, attention shifts to who replaces Jerome Powell.
Names in focus:
Kevin Hassett โ Seen as more dovish, pro-growth, market-friendly
Kevin Warsh โ Historically more hawkish, inflation-focused
Market impact:
๐ข Hassett favored โ bullish for equities, crypto, risk assets
๐ด Warsh favored โ pressure on growth stocks, higher rate expectations
โ ๏ธ Even rumors can move bonds, USD, Nasdaq, and crypto fast.
๐ 2. Economic Data Backlog Clears
Delayed data releases now hitting the tape means:
Markets will reprice growth & inflation expectations quickly
Higher volatility around data prints, even if numbers arenโt shocking
Key reaction zones:
Strong data โ Nasdaq underperforms, yields up
Soft data โ risk assets catch bids, rate-cut expectations expand
๐ป 3. Tech vs Value Rotation
Nasdaq weakness + Dow strength = institutional rotation, not exit
Watch:
Mega-cap tech support levels
Financials, industrials, energy flows
This fits with a late-cycle bull market, not a top.
๐ฎ What This Means Going Forward
Macro tone: Still bullish, but choppier
Equities: Buy dips selectively, donโt chase highs
Crypto: Rate-cut tailwind still intact, but headlines = volatility
Risk management: More important than entries this week