9-16-25 Three Key Influences Driving Markets into December | Before the Bell
Markets continue the current phase of compression and no big moves in anticipation of Fed rate cuts to be announced tomorrow. Markets are operating under the lowest levels of compressed volatility we've seen in a while. Markets have just been ticking-up (or down) 20-basis points, 30-basis points each day, not making much headway. There is a slight tilt of more buyers than sellers at this point. The MACD buy signal is ON at elevated levels, which limits much more upside. We have moved into the seasonally weak period of the year, August and September, in which there is typically more volatility, only we didn't get it! Sometimes, averages and statistics don't do what they're supposed to...or what you want them to do. Some years have pullbacks in the Fall, and some years don't. This year didn't. What normally happens is weaker returns; that didn't happen, either: There is a lot of support for the markets and a lot of retail buying going on, and the chase for AI has been pushing stocks higher. The AIQ, for example, is at the highest, most over bought level we've seen since the peak of the market back in April. But breadth in the markets has not been very strong; only a few companies are seeing much activity, and those that ARE are seeing very extreme deviations above moving averages. This is cause for caution. Doesn't mean anything is going to crash, but those type of deviations are hard to sustain. Same thing is happening in the Q's. The equal-weighted index, however, is displaying very different behavior. We are about to move into a seasonally-strong period of the year; earnings are going to be good with a likely 75% beat-rate; that will support the markets. Stock buy backs are at record highs this year, and their resumption will also add support to markets. Hosted by RIA Chief Investment Strategist, Lance Roberts, CIO Produced by Brent Clanton, Executive Producer ------- Watch the Video version of this report on our YouTube channel: https://www.youtube.com/watch?v=KLdsKL5irVM&list=PLwNgo56zE4RAbkqxgdj-8GOvjZTp9_Zlz&index=1 ------- Get more info & commentary: https://realinvestmentadvice.com/insights/real-investment-daily/ ------- Register for our next RIA Dynamic Learning Series event, "Savvy Medicare Planning," September 18, 2025: https://realinvestmentadvice.com/resources/events/savvy-medicare-planning-what-baby-boomers-need-to-know-about-medicare/ ------- Visit our Site: https://www.realinvestmentadvice.com Contact Us: 1-855-RIA-PLAN -------- Subscribe to SimpleVisor: https://www.simplevisor.com/register-new -------- Connect with us on social: https://twitter.com/RealInvAdvice https://twitter.com/LanceRoberts https://www.facebook.com/RealInvestmentAdvice/ https://www.linkedin.com/in/realinvestmentadvice/ #FederalReserve #MarketVolatility #StockMarketUpdate #AIStocks #SP500 #InvestingAdvice #Money #Investing
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