On Friday, the S&P 500 index rebounded as investors took advantage of Wall Street's recent labeling opportunities. For this week's Jackson Hole Symposium, equity traders will be looking at signals regarding the Fed's next move. The Minutes of the last FOMC meeting showed that the majority of Fed members are in favor of lowering the asset purchasing program to $120 billion per month before the end of the year. This likelihood may be reinforced by the talk given by Fed President Jerome Powell on Friday, even if recent economic statistics indicated a sluggish rebound. In this context, a 12-month "Wedge" pattern ran above the DXY US Dollar Index. This demonstrates that the market prices for the potential to taper stimuli and perhaps rise to medium-term rates. Increased US dollar pricing and developing market assets may weigh.
