Rick Reider: Market cleaned out a lot of leveraged positions

• Still like equities , but we have come a long way pretty quickly
• Can evolve the portfolio and have a bit less equities at these multiples
• You can get a lot of yield without going out on the yield curve
• Thinks the Fed cuts rates at September meeting
• Personally I think the fed funds rate is priced wrong
• I would do 50 basis point cut sooner and I would have cut in July
• I still like tech long-term, sector has terrific free cash flow generation
• It’s worth taking some chips off the table after this big rebound.
• We’re moving in the right direction on inflation

Looking at the US stock market

• The S&P index is up 78.75 points or 1.47% at 5423.06. Its high price reached 5430.75.
• The NASDAQ index is up 356.42.12 percent at 17135. Its high price reached 17174

Looking at the S&P sectors, the gains are led by information technology while the laggard and only negative sector is the energy sector.

• Information Technology (SSINFT): +2.60%
• Consumer Discretionary (SSCOND): +2.15%
• Health Care (SSHITH): +1.13%
• Utilities (SSUTIL): +1.09%
• Industrials (SSINDU): +0.85%
• Materials (SSMATR): +1.00%
• Consumer Staples (SSCONS): +0.26%
• Real Estate (SSREAS): +0.71%
• Telecommunication Services (SSTELS): +1.35%
• Financials (SPF): +0.62%
• Energy (SPN): -0.94%

This article was written by Greg Michalowski at www.forexlive.com.