CHRIS VERSACE : Good morning, Action Alerts Plus members. Happy Tuesday and happy election day. We'll kick off today's rundown with the check in on the market following yesterday's sluse report. As we know, the market is focused on what's being called a Goldilocks narrative, which simply means the market wants to see slowing growth that translates into the Fed being done boosting interest rates and targeting a first rate cut sometime in the middle of the first half of 2024.
We're thinking June, July. Some may think as early as May. To us, that's going to be rather data dependent. But the other side of the Goldilocks narrative is that growth continues to slow but not so much that it suggests that we are going to fall off a cliff and into a recession.
Now in terms of this Goldilocks narrative, other than today's September consumer credit report out at 3:00 PM this afternoon, we don't really have much market moving data coming at us for the balance of the week. So we'll have to wait and see about that narrative. But what we do have is we have a barrage of Fed heads coming not only today, but the balance of this week, with five today in for tomorrow, including Fed Chair Powell.
Our thinking is those heads, yes, they're going to share their latest thoughts, but they're likely to be very close to Powell's more neutral tone towards monetary policy that he shared last week. Candidly, we do not expect any big changes largely because we're treading water until next week's October CPI PPI and retail sales reports. It's that data that will tell us how on point the Goldilocks narrative is or isn't. And as that narrative is supported or isn't, we'll be sure to make adjustments to the portfolio as needed.
In terms of today's September consumer credit report, again out at 3:00 PM this afternoon, for us, the key will be on how much additional credit card debt consumers took on during the month. Why? Well we want to understand this given its implications for the, all important, holiday shopping season.
And with that, yesterday we shared some of our early observations as we make our rounds. And will continue to do so over the coming weeks sharing those anecdotal data points and connecting them back to the portfolio. So far what we've seen supports our decision to continue to own the shares of Costco, Amazon, and McDonald's.
Also today, we have earnings from our portfolio holdings competitors. And we're going to want to chew through those reports tying them back to our position. So please be sure to check your inboxes throughout the day. And members, we also have quarterly results after today's close from Axon and Coty.
In our opening comments this morning, we shared what the consensus expectations are both for the September quarter and for their guidance for the current quarter. So please be sure to check that alert out as well.
And members, as a final programming note, our next monthly AAP members only call is tomorrow at 12:00 noon Eastern Standard Time. It's going to be a great call but I'm going to tease you with this. We will be going through and discussing the club's investing philosophy that sits at the core of every decision we make. Trust me, you're going to find this super helpful so much so that you're not going to want to miss it. Well, that's today's rundown. Thanks for watching.