mildly negative
Fed policy remains restrictive: the Fed held the benchmark rate at 3.5%-3.75% (9-3 vote) while investors look for higher-for-longer, with a September hike described as “firmly in play” and October the more likely incremental move per CME FedWatch. Despite a weaker-than-expected jobs report, July CPI is expected to show another modest inflation increase, keeping the rate path upward. Analysts warn higher rates will raise consumer borrowing costs (mortgages, auto loans, and credit cards) and reflect stubborn inflation concerns in long-maturity bond yields.
moderately positive
Block’s Q2 (Aug 5) showed a clear EPS and margin beat (adjusted EPS $1.02 vs $0.86; adjusted op margin 27% vs 22% a year ago) alongside $800–$900M annualized net cost savings, though bitcoin headwinds drove GAAP net income to $89M and the shares ended essentially flat post-earnings. Expedia’s Q2 delivered stronger fundamental momentum with revenue up 14% to $4.31B, adjusted EPS $5.76 (+36%), and EBITDA up 23% with margins expanding to 25.9%, while management raised full-year outlook and continued buybacks ($900M year-to-date plus $5B new authorization) as the stock built a bullish breakout above $300.
