Key Takeaway: Post Jackson Hole Chart Check

Jeffrey Buchbinder (00:00):

 

Hello everyone, and welcome to the latest LPL Market Signals. Jeff Buchbinder here with my friend and colleague, Adam Turnquist. Adam, how are you today?

 

Adam Turnquist (00:11):

 

Hey, not too bad. Getting a little sad that summer's over, but at least football starts next week, so getting excited for that as well.

 

Jeffrey Buchbinder (00:19):

 

I gotta tell you, the markets might not have as challenging of a week as we're gonna have in the Buchbinder household, because we have to get the kids up for school for the first time. School starts here in Massachusetts on Wednesday, so I don't know how you go from sleeping till 11 to sleeping till six overnight, but if anybody has any ideas, let me know.

 

Adam Turnquist (00:43):

 

Yeah, I would suggest coffee, but I don't think you can do that quite yet for your kids.

 

Jeffrey Buchbinder (00:48):

 

Nope, teenagers. I don't think that's the best idea. So, yeah, maybe people can put suggestions in the comments on YouTube when this is posted. So, it is Monday, August 28th, 2023. As we're recording this, here's our agenda for this week. We've got a good week for stocks to talk about. Last week broke the three-week losing streak for the S&P and actually had an even stronger week for the Nasdaq. The big, well, there were two big events probably for, for markets last week, NVIDIA's earnings and Jackson Hole. So we'll provide some takeaways on both, but primarily on Jackson Hole, the big Fed symposium. Next, we'll highlight some charts. That's your thing, Adam. Charts to watch. And then finally preview the week ahead. And it's actually a really busy week. You might think at the end of the summer things would be quiet, but no, not at all.

 

Jeffrey Buchbinder (01:45):

 

<Laugh>. 'cause we have the ISM, the jobs report, core inflation, and there's some other stuff going on too that we'll get to later. So let's, let's jump right in. So, the S&P 500 was up 0.8% last week, breaking that through its losing streak. The Nasdaq I mentioned did better, up 2.3%. The gains were led by tech and consumer discretionary. And actually, if you look at the biggest contributors to those gains, you actually see two mega cap tech names. You see Nvidia which reported results last week up solidly up 4% last week. And then you have Tesla up about 10% last week. So those were really the two biggest drivers of the sector leadership. But I think the biggest driver of the market's gains last week, Adam, was yields, right? We had all the attention on the Fed. We had a spike in yields earlier in the week, then yields came back down late in the week. And you know, you see the bond gains, you'll see the bond gains on the next slide, but markets really liked that down move in yields at the end of the week.

 

Adam Turnquist (03:02):

 

Yeah, absolutely. I think when you look at the longer duration yields, you know, the 10 year or even the long bond that was getting pretty high, we're starting to talk about multi-year highs or multi-decade highs for the 10 year. They backed off that on Friday. It certainly helped tech, as you mentioned, lead the way for the market. I think the sector alone contributed to over half of the S&P 500's gain last week.

 

Jeffrey Buchbinder (03:26):

 

Yeah. Big week for tech. You know, I've seen some notes, you know, people talking about how tech hasn't been interest rate-sensitive recently, which is true, right? I mean, tech generally has performed well over the last several months as the tenure yield has risen quite a bit. So I mean, you probably could attribute that to the artificial intelligence enthusiasm, right? So tech has really been driven by AI more so than by by rates. But if rates move down, that should still help help tech in the other big growth sector. So that's something to watch. I also want to point out emerging markets actually had an okay week. If you take out China, some of the other emerging markets in Latin America or even other Asian countries, India, South Korea, Taiwan--we saw some pretty solid performance outta those markets. So, you know, we still like domestic more than emerging. We still like developed international better than emerging. But there's certainly some areas of emerging that are doing pretty well here recently. So, anything else you wanna call out on the global equity performance, Adam, or should we keep moving?

 

Adam Turnquist (04:43):

 

Yeah, I mean, just on the, the global side, China, just the overall disappointment. You can see the hang saying for the month down 7.5%, the CSI 300, down 5%. If you think back in the beginning of the year, there was a lot of enthusiasm over this reopening theme, and so far it's pretty much been sputtering ever since. Of course, policymakers in China have tried to reignite that rally, but failed. They just announced over the weekend, basically, they were cutting some of the stamp duty on trading, so basically making it cheaper for trading activity in China. And they were slowing some of the I P O activity market initially reacted positively, but gave up some of those gains overnight into this morning's session. So I think the market's still waiting for more in terms of policy than what they've delivered so far.

 

Jeffrey Buchbinder (05:33):

 

Yeah, good point. That was big news over the weekend, certainly. But no bazooka. Markets are looking for

 

Adam Turnquist (05:41):

 

<Crosstalk>. That's the new word trending now, the bazooka work.

 

Jeffrey Buchbinder (05:44):

 

Exactly. If it's not a bazooka, it's not stimulus. So yeah, the gains kind of fizzled out in China and Hong Kong on Monday. So turning to fixed income and commodities, I mean, so the energy sector was a little bit weak because oil was down. But really the big story here on this chart is the bond market gains, right? The the valuations for equities need lower yields for support right now that earning seasons over, you're not gonna get much support from new earnings information. Now granted, earnings season was great relative to expectations, but what's the next catalyst that's gonna support these high valuations? It might be rates. So until rates come back down, until the market clearly sees a pause, right? And we get maybe inflation a little bit lower than it is now, we think it's gonna be tough for stock valuations to to expand. So that's my takeaway from, from looking at the bond side of this. What do you think, Adam? Anything else here? Worth highlighting gold, maybe?

 

Adam Turnquist (06:53):

 

No, I think the one that ties into the commodity markets is really the dollar. That's a chart that I'm watching closely. Sure. Been trading higher, had this relief rally in the dollar. We're starting to see a little more technical progress, not quite enough to make the call for a bottom, but we're getting close to that level. That would certainly act as a headwind for the commodity space. But on the flip side, if we start to see that roll over, definitely would be beneficial to that overall commodities complex, especially on the precious metals. So watching gold and copper gold and silver there closely, they're near inflection points this week.

 

Jeffrey Buchbinder (07:30):

 

Yeah, the, the strength in precious metals is interesting because real yields have been going up, inflation adjusted re yields have been going up, and typically that hurts gold. But you know, you see here, precious metals up 2.5% last week. So gold's showing some resilience and in the face of a higher dollar and higher real interest rates. So that's something certainly to to watch. Let's transition to Jackson Hole. And this is actually where we can promote our Weekly Market Commentary on lpl.com, which is essentially Jackson Hole takeaways. And you know, this chart, I call the the Fed Breaks Something chart, okay, <laugh>, because you have these crises in the past and the Fed hikes rates you know, just to stave off inflation and then drive us kind of over a cliff, right?

 

Jeffrey Buchbinder (08:26):

 

And certainly a lot of people think that's gonna happen this time still, even though we haven't had much evidence of it. So you know, that's how I would characterize this chart. We still have to be watchful of the Fed breaking something, but without any evidence. I mean, we're watching the stock market, the bond market, we're watching economic data. We're really not seeing any signs that anything is breaking just yet. And frankly, a lot of economists keep pushing out their expectations for recession. You know, coming into this year we thought we'd be in one by the second half. Now the data's so strong, you know, it might be early 2024 before we see any kind of an economic contraction. So you know, that's kind of setting this up for how we're thinking about the Fed.

 

Jeffrey Buchbinder (09:16):

 

We're certainly watching for signs of cracks in the economy, certainly the consumers facing some pressure, a little bit more pressure than it did in the first half in terms of higher interest rates flowing through, drawing down excess savings. And then soon we will restart student loan payments. So you know, the pressure is starting to build, but the economic data's been so good that it just hasn't mattered, frankly. And we might get, you know, three or 4% GDP growth quarter in Q3 based on the strong start. So this chart is you know, we just talked about real yield. So this chart basically is making the point that the Fed is getting tighter, even if they don't cut rates or I, I'm sorry, hike rates, right?

 

Jeffrey Buchbinder (10:08):

 

So this is the PCE deflator, which is their preferred inflation measure in orange, and it's come way down off of its peak, right? And then you see the Fed funds rate in gray, which has come of course, way up. It's one of the fastest rate hiking cycles you've ever seen. So the gap between the Fed funds and the Fed's preferred inflation measure is getting bigger as that inflation rate falls. So even if the Fed stays higher for longer, right? They're at five and a quarter, they may go five and a half, probably go five and a half, even if they stay there while inflation comes down, they're actually getting tighter. Okay. So this is really the case for a pause. So we think the Fed is done, but at Jackson Hole, they told us they're gonna be data dependent. So we may get a hike in November. We'll have to wait and see. But you know, this makes the case that maybe they're done already. What do you think, Adam?

 

Adam Turnquist (11:13):

 

Yeah, I think that's the message from the market, but it's pretty close. It's not a clear message when you look at whether it's fed funds futures or whether two years trading right now. I think that's where we would lean, you know, based on that data at least, but, it's close. I think we will see what happens with data between now and the September meeting, or even the November meeting. But I think the big picture is that the rate hiking cycle is near the end, whether it's a pause now and one more, or we're officially at the pause point.

 

Jeffrey Buchbinder (11:50):

 

Absolutely. So we're just about done. And then that should be a catalyst for lower rates once the market prices that that pause fully in, I think right now fed fund seizures are only about 35, 40% chance of another hike.

 

Adam Turnquist (12:06):

 

Yeah. And I think the equity market saying close enough, whether it's another 25, does it really matter in the big picture, the fact that that's likely or hopefully the end of the rate hiking cycle if we do get one more additional hike? I think that's the applause, at least we've seen for part of this year with equity markets.

 

Jeffrey Buchbinder (12:25):

 

Yeah, absolutely. So we'll be watching the 10 year, that's probably more important than whether we get one more rate hike or or two at this point. I know you have the 10 year yield as one of your charts to watch, Adam. So you know, at this point, I'll just turn it over to you to walk through these five charts that you think are important for investors to consider, the first one continuing the Jackson Hole theme.

 

Adam Turnquist (12:49):

 

Yeah, we'll continue on that theme. We just put some numbers around it to quantify the importance of Jackson Hole, what takeaways the market's had over the last 20, well from 1992 to 2022. So we ran the numbers basically and looked at how the S&P 500 performed after the start of the Jackson Hole Symposium based on that Friday speech that typically, well, for this year it's obviously Jerome Powell. And you can see here for the market, it's really more headlines than headwinds for equity markets. You can see the S&P up a week later on average by 0.2%, a bit more mixed when you compare average returns and median returns one month out, but three months later, average returns, you're up 2.6%. You're positive 81% of the time, roughly. I think really it's not necessarily a catalyst, I think it's just more of a passing of the event risk overall. And that removal of uncertainty surrounding Jackson Hole, that suggests the market's typically higher. So that's really the key message here. You know, that that stocks tend to move higher after Jackson Hole. And then when you look at seasonality at this point too, we're coming into September. That's the worst month for the S&P 500 going back to 1950. Things do improve also in October and November, both pretty strong months for the market,

 

Jeffrey Buchbinder (14:16):

 

The S&P 500 next. Where do you think we're going?

 

Adam Turnquist (14:18):

 

Yeah, there we go. So when we look at the, the technical setup here for the broader market and the S&P 500, we really shouldn't be too surprised that we're seeing a little bit of a pullback here. If you think about the market coming into August, we were overbought, we ran into overhead resistance right at 4,600. That's that red bar or red line going across the top of this chart. And the pullback has caused some technical damage. You can see we've violated the emerging uptrend coming off the March lows. We took out the 50-day moving average as well. But I would say overall it has been relatively limited, you can see on the middle panel, when we look at market breadth, we look at how many stocks are above their 200-day moving average, still have over half the S&P holding up above their 200 day.

 

Adam Turnquist (15:05):

 

When we're looking for support for the market right now, for this week, or for the remainder of this pullback, we'll call it, we do see downside support at 4,300 or near 4,300. That goes back to those August highs of last year. If we break that, there's really no need to panic. We still have additional support coming in at 4,200. That goes back to prior highs and lows set over the last year. That also lines up pretty close to this longer term uptrend off those October lows. So when you think about this confluence of support in this 4,200 to 4,300 range, the fact that we're still above an uptrend arising 200 day moving average and all of the money sitting on the sidelines in money market funds, we think that's probably a logical spot for a rebound in equity markets in a spot where that buy the dip crowd would come back in. Our worst case scenario playbook in terms of on the technical side, would be maybe a pullback down to that 200-day moving average at 41 45. That would be either, I think around a 10 or 11% correction that's completely normal within the context of a bull market or really any type of drawdown within a calendar year as well. So don't panic wait for that support to be found. We think that would probably be at least technically a good entry point if you did miss that first half of the rally this year.

 

Jeffrey Buchbinder (16:28):

 

So it's as if the more support you have, the higher the likelihood that it holds and that by the dip crowd to come in. Okay. That's, that's a really important point.

 

Adam Turnquist (16:40):

 

Yeah, exactly.

 

Jeffrey Buchbinder (16:41):

 

And I'm actually comforted by the fact that all of these support levels are at a 10% correction or less,

 

Adam Turnquist (16:49):

 

Right. And if you think about

 

Jeffrey Buchbinder (16:51):

 

From the recent peak anyway, the, the 4,600 or so level

 

Adam Turnquist (16:55):

 

Yeah. And the, the selling pressure, it's been mostly on, on volume that has been below average. We haven't had these major panic moves in the market. And if you look at the next slide, you can look at the composition of breadth at the sector level. So here we break down every sector within the S&P 500, and we look at how many stocks are above their 200-day moving average. And you can see the theme here is that the offensive or more cyclical sectors are holding up better than the defensive sectors energy sticking out. You have 87% of energy stocks above their 200-day moving average. Keep in mind, back in the June timeframe, there was less than 5% of energy stocks above their 200-day. So pretty notable participation within that sector. Tech is holding up well, even though it's underperforming this month, that was one of the most overbought sectors coming into August.

 

Adam Turnquist (17:45):

 

Industrials materials, you can see consumer discretionary all doing quite well in terms of overall breadth. And what we haven't seen is a shift into some of the more defensive sectors. You can see utilities actually sticking out as the worst performing based on market breadth, healthcare, 42%. And even staples, there's some of the lowest sectors there that are definitely more defensive. So we haven't had this flight to quality play out at the sector level. I think that's a pretty good sign for the market as we look ahead in terms of the severity of this pull down or pullback, you know, I think it speaks to the fact that it could be more of a garden variety than anything that would lead to a kind of a market top.

 

Jeffrey Buchbinder (18:27):

 

Yeah, certainly for utilities, you'd have to think that the rise in rates has been a headwind. So that makes sense. But when we had a 4% a little more than 4%, 4.5% pullback in the S&P, we, we didn't see this, you know, flight to safety, this, you know, defensive market or anything like that. It was, it was really just kind of managed. I mean, you call the garden variety pullback. It was just kind of managed calmly by the market, pretty orderly sell off over the past several weeks. So does that tell us that if we do take another leg down, that that next leg down is likely to be calm as well?

 

Adam Turnquist (19:07):

 

I think so. When you look at overall just the factors in the pullback, we're still holding above, holding up above the longer term uptrend. We're still above our key 200-day moving average. The fact that tech still has three quarters of the sector above their 200-day moving average, you really need to take out tech and some of these other heavyweight sectors of the S&P 500 to get to more of a severe drawdown in the market. And we're not seeing that at all, at least in the data that we're looking at.

 

Jeffrey Buchbinder (19:37):

 

Yeah, consumer discretionary, one of the biggest sectors and very diverse. So good to see that up over 50%, even though we've had several disappointing retail earnings reports over the last week or two. So pretty good, pretty good breadth there, all things considered. So let's keep moving next this is the VIX, which is an implied volatility based on the options market. So this isn't really telling us about anything right this moment. It's telling us about what the market's pricing in for for next month, right?

 

Adam Turnquist (20:13):

 

Yeah. It's the 30-day implied move for the S&P 500. And I think the message when we look at the VIX is that the panic button has not been pushed. Really, you're seeing a pretty orderly move here on the VIX. And it really just, the move we've seen, if you look at where the VIX was trading over the summer months, we were well below the historical average, just below 20. So we were down in the, the fourteens, we'll call it for the VIX. And the VIX is typically a mean reverting instrument, not so much a trend following or a trending type of security. It's used to hedge risk and position trade. But the fact that we're just kind of mean reverting back toward the 200-day moving average and not seeing these huge spikes, those would be the panic buttons that we saw last year. You can see that I highlighted in the red circles where you have a sharp move higher on the VIX so far, you know, the VIX has come off those lows, but you're still below the 200-day, you're still below your long-term average. I think really just does speak to this pullback being orderly right now. Not a lot of fear in the marketplace, at least implied by the CBOE volatility index here.

 

Jeffrey Buchbinder (21:23):

 

Yeah,I think that, you know, over the last I don't know, call it year <laugh>, I've been really surprised at the, the move lower in the VIX, right? The investors, I mean, we had that little bit of a jump back in March, right when the banks failed, but just generally it's been calming <laugh> to see the market not get too worried about volatility. Now, you could take the other side and say it's too complacent. But you know, this measure sometimes sniffs out trouble, right, Adam? And it's just not seeing it right now.

 

Adam Turnquist (22:02):

 

Yeah, and there's, there's some caveats to that, of course, with the introduction of zero-day to expiry options last month, not the introduction, but the addition of two new days into the calendar week. So instead of hedging in the VIX, a lot of those zero-day to expiration options are being used. That's where a lot of volume is. But overall, I think you can make the message here that there's really no major signs of impending trouble here, at least over the next 30 days for the VIX. I think it's a good sign for this current pullback that we're seeing in the market.

 

Jeffrey Buchbinder (22:35):

 

Yeah. And certainly a lower VIX should support stock valuations. And even though valuations have come in a little bit partly because rates have gone up, right? You know, the equity risk premium makes stocks look a little more expensive here. But you also have a pretty good earning season providing some support for valuation. So all this kind of fits together and tells us that valuations are fair here for stocks, even though the market or many people out there are saying they're still quite overvalued. So speaking of the 10-year yield here's that chart. So Adam, we actually touched I think a multi-decade high in the 10-year yield last week. You know, above intraday

 

Adam Turnquist (23:26):

 

Yeah, briefly breached that October intraday high at 4 34 on the 10-year. So we're below it. We subsequently pulled back. I think that was a, a good sign for the market. When you think about the sequence of events last year and how the market bottomed, it's no coincidence that the 10-year topped out right around that 4 30, 34 level back in October. The fact that we're challenging that we're above the rising 200-day moving average and starting to trend higher on the 10-year is a bit of a concern. I call it uncomfortably high. And you can see over the last, call it six months at this point or five months, how correlations have changed. When you compare correlation between the S&P 500 ad 10-year yields for most of the summer, and even call it early spring, the market was able to absorb higher rates. You can see yields are moving higher as the market was moving higher.

 

Adam Turnquist (24:17):

 

That's that bottom panel and the green. But as things move too much too fast, that spills over into equity markets a little bit too much for them to absorb this jump that we've seen in the 10-year. And that's what we've seen play out in August with a notable, you know, 50 basis point change in the 10-year over the last, call it month, month and a half. But I think the good sign we haven't broke out yet, some of the momentum indicators that we, like, one of them is RSI, we're seeing a small divergence, meaning yields are moving higher, but we're not seeing momentum confirm new highs. So a lower low in that RSI indicator does suggest maybe some of that upside momentum is fading a little bit. That's typically what you'll see at a market top. Certainly can't make that call here on the 10-year, but does raise a question over the sustainability of that upside momentum. So keep an eye on that 4 34 level for the week ahead. That's gonna be a key area for the 10-year to hold below, I think, for this equity market rally to, or this, this pullback to, to maintain its relatively shallow pullback so far in the market.

 

Jeffrey Buchbinder (25:25):

 

Yeah, bond yields are so important for so many reasons. The you know, we don't want to be in a position where stocks fall and bonds fall, right? And that's kind of where we were the past few weeks last week notwithstanding. So you know, I think going forward, even though, you know, the LPL Research view is that things will be a little choppy maybe in the near term you know, around the seasonality which is challenging. And as the market kind of figures out whether we're actually gonna get a pause or whether it's here or not and, and all of that, and we get sort of the 10-year yield is settled down, but once all those things start cooperating, we think we can get a rally later in the year where stocks fall or where stocks rise and bonds rise together.

 

Jeffrey Buchbinder (26:16):

 

So maybe that correlation works for us. Regardless, you know, bonds look like a really good opportunity here when you can get, you know, yields north of 5% on high quality bonds. But the other piece of the bond equation is, is what does it do for stocks? And we think yields will be supportive for stocks over the next several months, but it's just hard to make that call. You know, for September when, as you said, Adam, the average, I mean, it's the worst month seasonally. I think the S&P 500 is down about 1% on average in September, if you go back over the past few decades. I see you nodding. So I think I'm recalling that correctly. Yeah, yeah, right around there. Yeah. And then even into October, right? October, the month where bear markets go to die, that might, well, that did happen last year, <laugh>, right? We're not trying to get rid of a bear market anymore, but you know, you tend to see relief rallies in the back half of October. So we just got about six weeks for seasonal headwind here. Before we get into a more favorable period, all that's lining up for maybe a strong finish for stocks and bonds at the end of the year, assuming the Fed doesn't get in our way.

 

Jeffrey Buchbinder (27:34):

 

So that is it for chart watch for this week. So thanks Adam for bringing those charts to us. Let's talk about the week ahead. It is a really busy week, even though we're kind of winding down summer and it's a big vacation week for folks, the economic calendar is not taking the week off, 'cause look at this. I try to just highlight the data points that I think really matter, and I basically ended up highlighting, more than half this page <laugh>. So it kind of takes the meaning away from a highlight when you highlight too much. But I mean, I guess you have to start with the Fed's preferred inflation measure, 'cause inflation is so important right now to both the bond market and the stock market and the economy.

 

Jeffrey Buchbinder (28:21):

 

So the core PCE deflator, I, I guess the first thing I'll say on this, you know, the consensus is for the year over year number to rise from 4.1 to 4.2, don't pay too much attention to that because it's just base effects, right? Inflation peak last year. And so you see as the comparison gets tougher for inflation, you tend to get higher year over year numbers. So pay most attention to the month over month, right? If we can string together a bunch of point twos, then you're at a good place, right? You're at 2.4 annualized. So that's, I think the most important number to watch this week is probably that point too. And then the other important numbers to watch are gonna be around the jobs report. Actually, I just heard our Chief Global Strategist Dr.

 

Jeffrey Buchbinder (29:09):

 

Quincy Krosby on CNBC talking about this earlier today. Wages are really important, right? That's the inflation read through on the jobs report. It's what happens to average hourly earnings. So we wanna see that go from 0.4 month over month last month to 0.3. 'cause If you can annualize a 0.3 at 3.6, right? I think I did that math right. That puts you in a good place for wages, right? We don't need wages to go to two wages historically are, you know, grow faster than the CPI or the PCE. We want wages to be a little bit faster paced to support consumer spending. 3.6 would be perfect, right? So I'd love to see a 0.3 on average hourly earnings, and we'd love to see the economy string together, a few more of those over the balance of the year. So those are my two key highlights. But anything else here Adam that you would highlight as key for investors to watch?

 

Adam Turnquist (30:11):

 

Yeah, I'll be watching the ISM manufacturing data on Friday as well. That should be interesting. We haven't had a back-to-back increase in that data point this year, so we did get an uptick last month for July. We'll see if August follows through. If you think historically bottoms and ISM manufacturing typically happen with or around the same period as a bottom in the economy or the stock market, the new orders especially. So we'll be watching that as well to see if there's any consistency in that data or if it's just another blip that we had some other upticks in the data, but we're still in contractionary territory, the sub 50 reading there, but that's gonna be an important one to watch as well.

 

Jeffrey Buchbinder (30:56):

 

Yeah, good point. Hopefully that's the bottom. You know, typically in recessions you go south of 43, so if we can bottom in the 46, 47 range, you could almost call this a mid-cycle pause. And maybe not, maybe a recession's not in the cards. Of course, we could go back up and then come back down again. It's also worth noting though, that the economy is not as manufacturing-driven as it used to be, right? So a mid-forties ISM used to be a big problem. Now it's not as much anymore. It's really about services. So that's not gonna be reported this week, but next week we'll be watching the ISM services, which you could argue is even more important in a services economy. But still the ISM manufacturing, the earnings are more manufacturing-driven.

 

Jeffrey Buchbinder (31:50):

 

So the ISM manufacturing numbers are still really important for corporate America. Beyond that pending home sales, jobless claims, and consumer confidence, those numbers are always going to be important with the consumer being 70% of the GDP calculation and with housing being such a big piece of consumer's wealth. So we'll always watch those numbers, even if we have a lot of highlights, we'll probably continue to highlight <laugh> those numbers each month when they come up. So those are some things to watch this week, a very busy week of economic data. We'll also be watching, it's really interesting, the White House is gonna announce the 10 drugs that are gonna gonna be subject to negotiations for for Medicare. So it is basically like price caps for for 10 key drugs that are gonna be first, and then more drugs are gonna be subjected to these lower prices later. So this is gonna be watched closely, I think, by investors in drug stocks. So, you know, we don't necessarily have an edge or a prediction or anything about who's coming, but that's gonna be, I think, really interesting to watch this week as well. And it'll probably move some drug stocks around on, on Tuesday. So anything else before we close Adam?

 

Adam Turnquist (33:16):

 

No, I think we got it.

 

Jeffrey Buchbinder (33:19):

 

All right. Well, great. With that, I'll thank you first Adam for joining me for another Market Signals. And thank you to all of our loyal listeners. We, we greatly appreciate it. Wish me luck getting the kids up for school for all of you who are doing the same. Good luck to you as well. And enjoy the last few days, I guess unofficially of summer. So again, thanks for listening to LPL Market Signals. We'll be back with you next week.