ASX Live Coverage – Thursday, August 14
Welcome to our updated ASX live coverage for Thursday, August 14. Today, we’re excited to present a fresh format, promising a robust flow of updates before and during market hours. We aim to conclude our live updates around 2:00 pm AEST. Remember to refresh the page manually for the latest news. We also invite your feedback to enhance our service.
Treasury Secretary Calls for 50 Basis Point Rate Cut
[8:40 am] In an interview with Bloomberg last night, Treasury Secretary Bessent reiterated the possibility of a 50 basis point interest rate cut in September, advocating for rates to ideally be between 150 and 175 basis points lower than their current levels—indicating an exceptionally dovish outlook compared to existing market sentiment. Key highlights from Bessent’s remarks include:
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Data Quality Concerns: Bessent suggested that rate cuts may have occurred sooner if governmental economic data had been more accurate, reflecting his dissatisfaction with official statistics.
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Opposition to Reduced Data Frequency: He expressed strong disapproval of any move to transition payroll reports from a monthly to a quarterly schedule, emphasising the critical need for timely labour market data in shaping policy decisions.
- No Reintroduction of Quantitative Easing: Bessent dismissed the necessity for large-scale asset purchases, stating that any future easing would primarily depend on rate cuts rather than increasing the balance sheet.
For more details, visit Bloomberg.
Morning Market Overview
[8:28 am] The ASX 200 futures are currently up by 31 points (+0.35%), buoyed by a strong lead from overnight markets. Here’s a snapshot of market conditions:
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S&P 500 (+0.32%) and Nasdaq (+0.14%) reached record highs.
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The Equal-weight S&P 500 has risen by 1.43%, nearing an all-time peak, suggesting strong breadth in the market.
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Dow Jones (+1.04%) demonstrated broader rally strength.
- The Russell 2000 (+1.98%), which has surged over 5.0% in the past two days, is also noteworthy.
Having been away for three days, I’m eager to provide comprehensive coverage today. Let’s dive right in!
If you’re new to our coverage, check out today’s Morning Wrap for a quick briefing.
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