Fed comments and the curious case of $CRM
So, Jerome got up there again, and the usual dance ensued. Higher for longer, inflation sticky, yada yada. You'd think after all this time, the market would have it priced in, but nope, every utterance still triggers the knee-jerk. What's interesting is how some of the tech names are reacting. $CRM, for instance, just drifted down to $150.19 today, off 1.68%, despite a relatively benign news cycle for them. It hit a low of $148.78 earlier, and the day's high was $154. You'd almost think they were blaming their quarterly reports on the guy who makes the coffee, not macro headwinds.
It makes me wonder if we're seeing the start of a true re-evaluation in some of these higher-multiple tech names, or if it's just the usual volatility around the Fed's latest sermon. My watchlist for Q4 is definitely skewing towards the dividend payers and industrials that aren't quite as sensitive to every murmur from the Eccles Building. Might be time to dust off the old spreadsheets on companies that actually make things, you know, tangible assets. Or maybe I'll just stick to watching $AUD at $0.0936 and wonder what its deal is.
I think the market's 'knee-jerk' is less about genuinely new information from Powell and more about algorithms reacting to keyword triggers. For $CRM, the drift could be sector-wide profit-taking after a decent run, not necessarily directly tied to Fed comments.