federal reserve chairman jerome powells friday speech was more hawkish than anticipated weighing on stocks according to chris senyek of wolfe research a more hawkish tone was largely expected coming into his speech this morning senyek wrote in a friday note that said the market is interpreting his tone as even more hawkish than those expectations after powells remarks both yields on the us twoyear treasury and the march 2023 fed funds future were up by roughly 05 and stock slumped going forward its likely that stocks will continue to trade down according to senyek this speech is likely to keep downward pressure on equity markets with the growth trade and longduration subsectors  stocks getting hit hardest… think a reversal of the trade since midjune he wrote senyek also reiterated his bearish stance on stocks going forward he sees inflation readings and other economic data as the largest market drivers through the end of the year we continue to believe that 1 core inflation is going to be a thorn in the feds side and prove to be very persistent and 2 headwinds from fed tightening have only just started to show up in economic readings and a demanddriven recession is going to hit at the end of this year or beginning of next year he said bonds quiet ahead of powell speech futures positioned for rate cut next year treasury yields were mixed ahead of federal reserve chairman jerome powells jackson hole speech at 10 am et the 10year yield was higher at 305 the 2year yield which is most driven by fed policy was slightly lower at 238 yields move opposite price trading was light its sleeping just waiting for the big event said wells fargos michael schumacher theres no motivation right now you could be dead wrong by a lot most people think it will be a nonevent but why take the risk the chairman is expected to emphasize that the fed will be relentless in using its policies to drive down inflation though the futures market has been pricing in a quarter point rate cut for the second half of next year he is also expected to stress that once the fed raises interest rates to its terminal rate or end rate it will likely hold them there the fed funds futures market is pricing in some significant hikes including the 64 basis points of a hike in september notes schumacher that pricing reflects the current market debate on whether the fed will raise rates by another threequarters points or slows to a half point hike at its sept 20 and 21 meeting right now the market is pricing 362 for the end of this year and the peak to be about 378 in march said schumacher the fed has currently targeted the fed funds rate in a range of 225 to 250 paul meeks is holding a cash hoard in his tech portfolios tech investor paul meeks is holding on to cash in his tech portfolios the portfolio manager at independent solutions wealth management said he has built a cash hoard of more than 20 in some of his portfolios that he is slowly starting to deploy he said in a friday appearance on cnbcs squawk box i do have almost ever since last thanksgiving a cash hoard and i call it a hoard because it is fairly large meeks said im starting to put some money back in and i would like to focus on those confidence names at the end of the day i have cash in portfolios that some of them exceeds 20 he said meeks said he is waiting for tech valuations to pull back to their june lows before he would pile back into the sector until then he has confidence in some names such as cybersecurity company palo alto networks and cloud computing firm snowflake regardless of what comes out of jackson hole inflation has likely peaked says leutholds paulsen leuthold groups jim paulsen warned investors not to let their anxieties get the best of them as the markets are likely to regain their footing and move on once the symposium in jackson hole is behind them there has been tough talk on inflation all week and there will be more tomorrow but what will be said that has not already been said or at least considered and discounted by the financial markets paulsen said in a note thursday is the fed going to raise rates again at its september meeting yes will that be shocking no most likely the inflation rate has already peaked and will return to 4 or less in the nottodistant future he added more importantly regardless of what the fed does this fall inflation is apt to soon resume its secular disinflationary character exhibited over the last several decades investors should stay cautious despite the sp 500 closing above a key level says btigs krinsky on thursday the sp 500 closed above its 20day moving average of around 4186 which is a good gauge of shortterm trends according to btigs chief market technician jonathan krinsky however the market is still in for more turbulence he says we think the june lows are probably in but the caveat there is that its not going to be smooth sailing a lot of people assume once the lows are in then its just up and to the right and thats really not typical of markets he said on cnbcs closing bell overtime thursday earlier this month the broad market index closed above 4231 – a morethan50 retracement of its 2022 selloff and the magic number krinsky previously said would mean this is a new bull market and not just a bear bounce