ADDX GO Market Morning Wrap - 16th Sep

Stock Market  

On Monday Eastern Time, all three major U.S. stock indices closed higher, with the S&P 500 and Nasdaq hitting record highs as investors await the Federal Reserve’s critical policy meeting this week.  

 

The Federal Open Market Committee (FOMC) meeting is the market’s core focus. After recent data showed labor market weakness, investors widely expect a 25-basis-point rate cut.  

 

Large tech stocks broadly rise, Google surges over 4% to become the fourth U.S.-listed company with a market cap exceeding $3 trillion.

 

Carol Schleif, chief investment officer at BMO Family Office, said: “The market is betting on a ‘Goldilocks’ scenario: a labor market weak enough to prompt a Fed rate-cut cycle, not just a one-off cut, but not so weak as to harm overall growth. If the Fed doesn’t signal further cuts, markets may be disappointed.”  

 

Meanwhile, U.S.-China trade talks showed positive signals. From September 14-15, China’s Vice Premier He Lifeng met with U.S. Treasury Secretary Bessent and Trade Representative Greer in Madrid to discuss outcomes and domestic approval processes.  

 

The CME FedWatch tool shows a 95.8% probability of a 25-basis-point cut, with only a 4.2% chance of a 50-basis-point cut.  

 

Scott Wren, senior global market strategist at Wells Fargo Investment Institute, said: “Markets fully expect the Fed to start cutting rates this week. Much of today’s action is positioning for Wednesday’s statement. This could become a ‘buy the rumor, sell the fact’ event, but it’s unlikely anyone will short the S&P 500 before then.”  

 

Lower rates may continue to support stocks, though economic risks persist, with investor enthusiasm for AI driving market gains.  

 

Investors will also monitor the U.S. Senate to see if Stephen Miran is sworn in as a Fed governor before the FOMC meeting.

Global Hotspots  

Venezuela interior minister: Relations with U.S. long broken  

 

Venezuela’s Minister of Interior, Justice, and Peace, Diosdado Cabello, said on September 15 that Venezuela-U.S. relations have long been broken, dating back to the Obama era when Venezuela was labeled an “imminent threat.”

 

He accused the U.S. of targeting Venezuelans while sheltering enemies sending explosives, making normal relations impossible. Cabello emphasized Venezuela’s self-reliant development and commitment to defending the homeland through extensive military exercises.

 

U.S. and China reach basic framework on resolving TikTok issue  

 

On September 15, China’s Vice Minister of Commerce Li Chenggang said both sides reached a basic framework to cooperatively resolve the TikTok issue, reduce investment barriers, and promote trade cooperation. During September 14-15 talks in Madrid, both teams implemented leaders’ consensus, engaging in candid, in-depth, and constructive discussions on TikTok and other trade concerns.

 

IAEA conference calls for upholding global nuclear non-proliferation  

 

The 69th IAEA conference opened in Vienna on September 15, urging peaceful nuclear use and maintenance of the global non-proliferation system. Director General Grossi said amid growing inequality, terrorism, conflicts, and erosion of nuclear norms, the conference is critical. He told the UN Security Council the non-proliferation system faces immense pressure and needs protection.

 

Ukraine approves 2026 budget draft  

 

On September 15, Ukrainian Prime Minister Shmyhal said the government approved the 2026 budget draft for parliamentary review, prioritizing defense, security, and social stability. Total expenditure is 4.8 trillion hryvnia (up 415 billion from 2025), revenue at 2.826 trillion hryvnia (up 446.8 billion, 18.8%), with 2.79 trillion hryvnia in external financing needs.

 

Defense spending is 2.8 trillion hryvnia (27.2% of GDP), covering soldier welfare, air defense, and weapon production, with increased budgets for education, research, healthcare, and 17.9 billion hryvnia for veteran policies.

 

Emerging market ETFs see fifth straight week of inflows, China leads  

 

Investors continued buying emerging market stock and bond ETFs, with inflows for the fifth consecutive week. For the week ending September 12, U.S.-listed emerging market ETFs saw $2.17 billion in inflows, up from $1.02 billion the prior week, totaling $19.8 billion year-to-date.

 

Equity ETFs gained $1.45 billion; bond ETFs $716.3 million; total assets rose from $422.3 billion to $437.5 billion. The MSCI Emerging Markets Index rose 3.9% to 1,325.73, its highest since July 22, 2021. China led with $653.9 million in inflows, while Argentina saw the largest outflow at $6.99 million.

 

Trump calls for ending quarterly earnings reports  

 

On Monday, President Trump said U.S. companies should not be required to report earnings quarterly, proposing semi-annual reports instead, a view he raised in his first term. In a Truth Social post, he said: “With SEC approval, companies should no longer be forced to issue quarterly reports. Semi-annual reports would save costs and allow management to focus on operations.”

 

U.S. seeks to expand strategic uranium reserves  

 

On Monday, Energy Secretary Chris Wright said the U.S. should expand strategic uranium reserves to reduce reliance on Russian supplies and boost confidence in nuclear power’s long-term prospects.

 

At the IAEA conference, Wright said: “We’re moving toward phasing out Russian enriched uranium. We want rapid growth in domestic uranium consumption for large and small modular reactors, requiring significant domestic uranium and enrichment capacity.”

Company News  

Nasdaq CEO supports reforming corporate reporting cycles  

 

Nasdaq CEO Friedman endorsed giving public companies the choice of quarterly or semi-annual reporting to reduce burdens. Following Trump’s call to end quarterly reports, Friedman said: “Thank you, President Trump, for highlighting a key challenge for public company leaders: short-termism, exacerbated by quarterly reports.” Simplifying reporting could invigorate U.S. capital markets and spur growth.

 

CoreWeave signs $6.3B order with Nvidia  

 

On Monday, CoreWeave’s stock rose nearly 8% after disclosing at least $6.3 billion in orders from Nvidia. The agreement secures CoreWeave’s sale of reserved cloud capacity to clients and allows Nvidia to access unsold capacity. A CoreWeave spokesperson said: “This reflects our scale, trust, and critical role in accelerating global AI innovation.”$CRWV 

 

Coinbase’s Base blockchain explores issuing new token  

 

Coinbase’s public blockchain Base is exploring a new cryptocurrency to fund supported projects, called a “network token” for paying in-app transaction fees. CEO Brian Armstrong said the token could decentralize payments beyond traditional channels and encourage developer participation, though the idea is early-stage.

 

Google’s ad tech sale proposal falls short of DOJ demands  

 

A Google lawyer said Monday that while Google considered selling parts of its ad tech business to address EU and U.S. antitrust concerns, the DOJ’s demand for a “complete technical separation and divestiture” of its AdX platform goes far beyond.

 

The DOJ and Google will begin a two-week hearing next week on whether Google must divest parts of its business after a ruling of illegal monopoly in two ad tech markets.

Forex & Commodities  

WTI October crude futures rose 0.97% to $63.3 per barrel; Brent November crude futures rose 0.67% to $67.44 per barrel.  

 

COMEX gold futures rose 0.9% to $3,719 per ounce; COMEX silver futures rose 0.84% to $43.19 per ounce.  

 

The dollar index, measuring the dollar against six major currencies, fell 0.26% to 97.300 at market close.

Key Events  

Gold hits new high, LME copper at 15-month peak, markets bet on Fed rate cuts  

 

With economic and geopolitical conditions favoring Fed rate cuts, traders are increasing bets on gold and commodities. Swaps price in one more cut this year, with a strong chance of a third. This boosts stocks, lowers Treasury yields and the dollar, and makes gold more attractive as a store of value.

 

The Fed’s stance this week is key to whether it challenges market consensus.  

 

Gold has risen over 40% this year, driven by geopolitical tensions, Trump’s trade policies, and central bank buying, recently surpassing its inflation-adjusted historical high. The Fed also faces pressure from Trump to cut rates, including attempts to oust Governor Lisa Cook.

 

Goldman Sachs noted that if 1% of private-sector U.S. Treasury holdings flow into gold, prices could reach $5,000 per ounce.

Cryptocurrency  

Bitcoin rose 0.08% in 24 hours to $115,373.  

 

Ethereum (ETH-USD) fell 1.87% to $4,523.  

 

XRP (XRP-USD) fell 1.27%, BNB (BNB-USD) fell 0.84%, and Solana (SOL-USD) fell 2.87%.  

 

Dogecoin (DOGE-USD) fell 3.07%, and Cardano (ADA-USD) fell 2.94%.

Key Events  

MicroStrategy: $60.2M buys 525 BTC, 25.9% annual return  

 

Michael Saylor revealed MicroStrategy bought 525 BTC for ~$60.2M at ~$114,562 per coin. As of September 14, the company holds 638,985 BTC, acquired for $47.23B, averaging $73,913 per coin, with a 2025 Bitcoin investment return of 25.9%.$MSTR