US Rate Futures Lower Odds of September Rate Hike

The news indicates a reduced likelihood of a rate hike in September, which is generally perceived as a positive signal for equity markets. Technical indicators also support this outlook: the RSI at 62.6 is not in overbought territory, and the MACD is positive but below its signal line, suggesting that short-term momentum is intact but may be weakening. The price is trading above the 20-day and 50-day moving averages, confirming a medium-term uptrend. However, the latest close at 7,740, just above the SMA20, suggests that the upside may be limited. A short-term upward move is possible, but there is also a chance of encountering strong resistance.

The news indicates a reduced likelihood of a rate hike in September, which could create a favorable environment for growth stocks and the tech-heavy NDX. Technical indicators also support this outlook: the RSI at 60.8 is strong but not overbought, and the price is above both the 20-day and 50-day moving averages. Although the MACD is below its signal line, it remains in positive territory, suggesting that short-term momentum is intact but slightly decelerating. The 0.54% increase over the last 24 hours points to a continued upward trend. However, since rate cut expectations may already be priced in, upside movement could be limited, with potential profit-taking in the 29600-29700 resistance zone.