I think the U.S. market this week will remain volatile but generally constructive. The weak August payrolls (just 22K jobs) and rising unemployment (4.3%) have largely priced in expectations for a September rate cut, which should support equities in the near term.


However, manufacturing activity continues to contract (ISM 48.7), while services remain in expansion (ISM 52), highlighting a mixed economic picture. Valuations are elevated, with the S&P 500 trading around 22x forward earnings — high by historical standards — meaning any disappointment in earnings or corporate guidance could trigger a sharp pullback.


I expect large-cap tech and AI-related names to remain market leaders, while cyclicals may lag behind. For short-term traders, buying dips and taking profits on rallies could be effective, while longer-term investors might consider protective strategies, such as collars, to manage downside risk without fully giving up upside.