The best way to summarize my current market views: Shorter-term, expecting a consolidation. Longer-term, we’re still in a strong bull market powered by AI.

1) The Federal Reserve is not going to cut interest rates today and it’s going to be Groundhog Day. Six more weeks of President Trump harassing Fed Chair Powell. Trump won’t fire Powell, but the market’s not going to like the constant nonsense headlines.

2) We are heading into the seasonally weak months of August and September. Some form of consolidation would be expected. This can come through price (a possible normal pullback to the 50-day moving average), or through time (a possible sideways consolidation). Either way, I think it’s worth keeping expectations realistic over the near-term.

3) After this week, the majority of S&P 500 companies will have reported earnings, and the news cycle is going to shift away from fundamentals (earnings) to the bullshit headlines about tariffs, the Fed, interest rates, geopolitical, etc. This could lead to potential volatility over the summer.

4) I mentioned that I reduced my exposure last week to lock in some gains and to help minimize volatility for my clients in case we get a pullback. As always, your portfolio decisions should depend on your timeframe, your risk tolerance, and your overall plan. If you don’t have a plan, I suggest working on one to help you produce consistent gains over the long run.

5) If we do get a pullback, I’m going to put money to work in some of the growth names I like longer term. There are so many stocks with strong fundamentals, accelerating earnings and sales growth, insane bullish options activity, super strong technicals, and are likely going higher over the next 6-12 months. I have core positions in some of these stocks, and I will look to add on logical support. In case you missed it, I wrote about my longer-term bullish thesis in this blog post: https://joefahmy.com/2025/06/29/dont-lose-sight-of-the-bigger-picture

6) I tell my Educational Members this all the time: Actively managing a stock portfolio is not easy and not for everyone. It involves decision making and an incredible amount of mental toughness. Know yourself and what works for your personality and for your overall temperament.

7) Speaking of my Educational Product, the price is going up to $595 on September 1, 2025. From now through August 30th, first time members can use the discount code: take100off for $100 off the current $495 quarterly membership price AND one free month. After you sign up, my web team will add one complimentary month to your membership. Take advantage of this offer before the price increase in September. You can sign up here: https://joefahmy.com/investor-education

I can be reached at: jfahmy@zorcapital.com.

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