Fed Chairman Jerome Powell. Photo: Chen Mengtong/China News Service/VCG via Getty Images

While the most talked-about news on Wall Street proved to be a downer, U.S. equities are poised to get a power boost from 2 big sources soon.

Driving the news: On Friday, the Fed announced plans to buy $60 billion of U.S. Treasury bills a month “at least into the second quarter of next year.”

Why it matters: Despite the central bank's insistence that the cash injections “do not represent a change” in its monetary stance, it will help boost market liquidity and help stave off a crunch analysts were predicting could torpedo the stock market later this year.

  • Fed funds futures prices also show traders see nearly a 78% chance the Fed cuts interest rates for the third time this year at its October meeting and a 27.5% chance of a fourth cut at its December meeting, according to CME Group's FedWatch tool. That would provide even more liquidity.

The market could also be buoyed by its old friend corporate buybacks. Companies increased buys of their own shares in the third quarter after a notable slowdown in the second.

  • Buybacks in Q3 were up 27% from their level in Q3 2018, analysts at Bank of America Merrill Lynch said in a note to clients. The biggest sector driver was health care companies, which reported "near-record weekly buybacks" last week, and buybacks overall "have remained stronger than usual ahead of earnings season."

Go deeper: Fed's Kashkari is sick of Wall Street's whining

Go deeper

Updated 55 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Annelise Capossela/Axios

  1. Global: Total confirmed cases as of 10:30 a.m. ET: 20,388,408 — Total deaths: 743,599— Total recoveries: 12,616,973Map.
  2. U.S.: Total confirmed cases as of 10:30 a.m. ET: 5,150,590 — Total deaths: 164,681 — Total recoveries: 1,714,960 — Total tests: 63,252,257Map.
  3. Business: U.S. already feeling effects of ending unemployment benefits — U.S. producer prices rose last month by the most since October 2018.
  4. Public health: America is flying blind on its coronavirus response.

Trump congratulates QAnon conspiracy theorist on GOP runoff win

Photo: Brendan Smialowski/AFP via Getty Images

President Trump on Wednesday tweeted congratulations to Marjorie Taylor Greene, a vocal QAnon conspiracy theorist who won the Republican nomination in Georgia's deep-red 14th Congressional District runoff.

Why it matters: The president's approval illustrates how the once-fringe conspiracy theory has gained ground within the GOP. Greene is among the at least 11 GOP candidates for Congress who have openly supported or defended the QAnon movement or some of its tenets, per Axios' Jacob Knutson.

Ben Geman, author of Generate
2 hours ago - Politics & Policy

What Kamala Harris means for Biden's climate change plans

Photo illustration: Aïda Amer/Axios. Photo: Joshua Lott/Stringer.

Sen. Kamala Harris' VP selection could heighten the ticket's focus on environmental justice while prompting fresh Trump campaign political attacks on Democrats' energy plans.

Why it matters: Her introduction comes in an election year that has seen more emphasis on climate change than prior cycles. One effect of the movement ignited by the police killing of George Floyd is a new focus on environmental burdens that poor people and communities of color face.