Stock Market Update

[BRIEFING.COM] The market has tracked mostly sideways in the past 30 minutes, which leaves the major indices below their unchanged lines. The Nasdaq Composite (-0.6%) has been the weakest of the bunch, weighed down by some profit-taking among the mega-cap stocks and semiconductor shares.

Elsewhere, plenty of attention was paid earlier today to Fed Governor Waller's view that he isn't worried about tariffs driving up inflation and that he thinks (his view only) the Fed could cut rates as early as July based on his position.

Mr. Waller is an FOMC voter and is looked at by some as a possible candidate to replace Fed Chair Powell when his term ends; hence, the market got a nice boost from his remarks. Ultimately, the market did not sustain its positive bias, as it is clear to the market that Mr. Waller is still in a minority position as it relates to his rate-cut view and that Fed Chair Powell himself said earlier in the week that he expects to see a meaningful pickup in tariff inflation in the coming months.

The fed funds futures market looks to be adhering more to the Fed Chair's view. Notwithstanding Mr. Waller's belief, the probability of a rate cut at the July FOMC meeting rose only slightly to 14.5% from 12.5% a day ago, according to the CME FedWatch Tool.