Jay Woods, chief markets strategist at Freedom Capital Markets, emphasizes the importance of the Federal Reserve's minutes from their recent meeting, particularly regarding potential internal disagreements among members. The Fed maintained its benchmark interest rate at 3.50% to 3.75% but removed an easing bias, which could indicate a shift in monetary policy.
Additionally, Woods is closely monitoring quarterly earnings from PepsiCo and Delta Air Lines. PepsiCo's shares are currently trading around $141.90, below key moving averages, suggesting a cautious approach, while Woods identifies the $148-$150 range as a critical level to watch.
For Delta, which has seen a 33% increase in share price this year, Woods believes the stock is overbought at around $92 and suggests waiting for a pullback to $86 for a better entry point