Market momentum indicators suggest a potential breakout if Federal Reserve commentary tilts dovish in the upcoming meeting. It's becoming downright impossible to sweep a Shiller P/E multiple of 40 under the rug, regardless of how fast a handful of megacap companies are projected to grow in the coming years. US stocks edged lower on Tuesday morning as the chance of a government shutdown and new lumber tariffs weighed on equities. Futures Dow extended gains to 38,470 after a tech-led rally in the Nasdaq. Quant desks note an uptick in momentum-based buying patterns, implying that algorithmic trades could sustain current market levels if volatility remains muted.
