Dow Rises as Investors Await Warsh Speech
The Dow Jones Industrial Average gained 85 points on Friday as investors awaited Federal Reserve Chair Kevin Warsh's speech at the central bank's annual Jackson Hole symposium.
Warsh's appearance is expected to provide insight into how the Fed approaches inflation and interest rates, with investors looking for clues on the interest-rate outlook following mixed inflation data and recent efforts by the US Treasury to stabilize bond markets.
The monetary policy outlook has become more uncertain, with money markets pricing in about a 36% chance of a rate hike in September according to CME's FedWatch tool, while Fed funds futures indicated roughly a 64% probability that the central bank will keep rates unchanged at its next meeting.
In the tech sector, Marvell Technology (MRVL) dropped 7.17% after investors raised concerns about the timing of revenue from its AI chip agreement with Alphabet's Google, while Gap shares climbed 18.8% in trading after the retailer appointed Michael Francis as CEO of Old Navy and raised its annual profit forecast.