Company Interview / the open: ASX set for new record on US Powell boost

The local market is set to rally to a new record this week with ASX futures up 0.9%. On Wall Street the Dow closed at a record with the consumer discretionary sector up more than 3%. 

Shares of Google-parent Alphabet rose as it signed a six-year cloud computing deal with Meta Platforms worth more than $10 billion. Nvidia will be in focus this week as it delivers its quarterly results with earnings from the semiconductor giant posing a crucial test for the AI trade.

Fed Chair Powell has opened the door to an interest rate cut in September. His speech at the annual Jackson Hole symposium on Friday, was perceived by markets to be more dovish than expected as he highlighted the labour market is in a “curious kind of balance.” 

The US dollar index closed down 0.9% on the day, meanwhile the Australian dollar has bounced back to US65 cents.