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The Morning Dose EP101 Bearish

Morning Dose: Powell’s Perfume Bears on the Prowl – Thursday 8/21/2025

August 21, 2025 4:39
Tickers Mentioned
WMTCOTYBAMETAISRGADI
Episode Summary
Markets open lower ahead of Powell's Jackson Hole speech. Fed signals caution on rate cuts. Walmart misses EPS, Coty crashes 20%, Boeing surges on China deal. Defensive stance recommended with tight stops amid rising volatility.
Key Takeaways
  • Fed's Schmid signals no rush on rate cuts dampening hopes
  • Walmart misses EPS despite strong sales and positive guidance
  • Coty plunges 20% pre-market on earnings miss and downgrade
  • Powell's Jackson Hole speech creates defensive market sentiment and volatility
  • Traders advised to use tight stops and stay nimble
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Morning Dose: Powell’s Perfume Bears on the Prowl

A quick analysis of today’s market outlook and key trading opportunities to start your day.

Intro & Market Mood

Good morning and welcome to The Morning Dose – Everything You Need to Know Before the Market Opens. It is Thursday, August 21st, and futures are pointing to another lower open this morning. The mood feels… tense.

Overnight Headlines

All eyes are on Jackson Hole where the Fed’s big symposium kicks off today. Market hopes for friendly words on interest rates from Chair Powell are tense after Kansas City Fed President Jeffrey Schmid’s caution on rate cuts.

Economic Announcements

  • Asia had a mixed session, while Europe trades in red, except for some positive Eurozone manufacturing PMI news.
  • Economic data today includes weekly jobless claims, Philly Fed Index, S&P Global PMIs, Existing Home Sales, and Leading Indicators.
  • Watch the 9:45 AM PMI data for a real-time snapshot before Powell’s speech.

Earnings Highlights

  • Walmart reports mixed results with a lower stock trade due to EPS miss despite strong U.S. sales and positive future guidance.
  • Coty experiences a massive 20% pre-market drop after a significant earnings miss and a swift downgrade from Buy to Neutral by Citigroup.

Top Movers

  • Boeing surges on potential massive aircraft sale to China, while Meta Platforms surprises with an A.I. hiring freeze.
  • Dayforce sees a positive pop following acquisition news by Thoma Bravo.

Quick Trade Ideas

Keep an eye on names like Intuitive Surgical and Analog Devices for relative strength. Stay cautious, set tight stops, and stay nimble with tomorrow’s big event looming.

Key Takeaway

Traders should note defensive market sentiment with higher volatility ahead of Powell’s speech. Watch technical levels closely and be ready to adapt quickly to market shifts.

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