00:00The Nasdaq and S&P 500 closed a lower Monday with declines in Intel and other chipmakers as investors became
00:07less confident about a deal to reopen the Strait of Hormuz.
00:10U.S. President Donald Trump demanded that Iran pay compensation for the people he said it had killed in wars,
00:16attacks and protests.
00:20Earlier, Iran called for Washington to meet conditions, including rock-pancing Tehran for the damage caused since the U.S.
00:28and Israel launched strikes on its territory more than five months ago.
00:33The S&P 500 declined 0.06% to end the session at 7,753.12 points.
00:40The Nasdaq declined 0.32% to 26,605.36 points, while the Dow Jones Industrial Average declined 0.11
00:51% to 53,976.04 points.
00:56We think the market is taking a little bit of profit-taking after a really strong rally last week.
01:03We had a surge of 5% from the lows in late July, which is a big rally.
01:11And so it seems to us, you know, maybe there's a little bit of concern on the inflation front as
01:17well.
01:17Data on Friday that show U.S. employees unexpectedly shed 23,000 jobs in July prompted traders to cut odds
01:25of a Federal Reserve interest rate hike in September.
01:28Traders now priced in a 52% chance of a rate hike in September, according to the CME FedWatch tool.
01:37The Fed has been pretty cautious, and we think it's less likely that they raise rates right in front of
01:43the election in September.
01:45You know, the market went from pricing in about 60% chance of a rate hike to now about 25
01:51to 30.
01:52We always thought it was less than 50-50, so I think the market's migrated more to our way of
01:58thinking,
01:58and the jobs numbers, I think, were proof in the pudding that things are pretty stable,
02:04and there isn't a need for a big movement in one direction or the other on the rate front at
02:09this point.
02:10About 85% of the 436 companies in the S&P 500 that have reported earnings so far this period
02:17have beaten estimates,
02:19according to LSEG data.
02:22Thank you very much.
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