On today's episode of Morning Brief, Hosts Seana Smith and Brad Smith analyze the market open and discuss some of the biggest stories of the trading day.

The Dow Jones Industrial Average (^DJI) briefly touched a new high after Tuesday's open. The S&P 500 (^GSPC) and Nasdaq Composite (^IXIC) also moved to the upside as investors continue to celebrate the Federal Reserve's rate cut.

Federal Reserve Governor Michelle Bowman delivered remarks on Tuesday morning about the Fed's monetary policy. Governor Bowman was the only official to vote against last week's 50-basis-point cut — the first to do so since 2005. Yahoo Finance Senior Reporter Jennifer Schonberger breaks down Governor Bowman's remarks and her outlook on the health of the US economy.

Bowman said economic conditions warranted “a more measured approach” from the Fed. Irene Tunkel, BCA Research chief US equity strategist, tells Yahoo Finance, “I would not say that we're in a recession. We are not in a recession right now. I think that the reason we say fragility and generally, you know, have a slightly more bearish tone to everything we write, is we do not like the trajectory of the US economy.” She adds that what worries her the most is the state of the job market.

Wolfe Research chief economist Stephanie Roth calls the Fed's 50-basis-point interest rate cut "preemptive to some extent," yet she notes that the Fed has a lot of room for cuts. "They have a lot of room to go big at the beginning. Powell also didn't fully acknowledge this, He kind of danced around the question, but they asked whether we were just catching up from the July cut that probably they should have done. And he didn't exactly say this was the case, but I think you could read from the body language that wasn't what he was implying," she tells Yahoo Finance.

The People's Bank of China (PBOC) has unveiled a new stimulus package aimed at revitalizing the nation's economy. This package is the second-largest stimulus effort following only that of the pandemic. Chinese stocks (000300.SS) are rallying in response to the announcement. Yahoo Finance markets & data editor Jared Blikre analyzes the market reaction to this news, explaining the significance of this stimulus and its potential impact on global markets.

Barclays has raised its forecast for Tesla's (TSLA) third-quarter deliveries to 470,000 vehicles, significantly above Wall Street's prediction of 461,000. Barclays Senior Equity Research Analyst Dan Levy identifies "two streams" currently propelling Tesla stock: fundamentals and "the excitement over the EV, AI narrative." He notes that Tesla has recently gained "stability on fundamentals," contributing to his optimistic third-quarter delivery outlook. Additionally, the EV, AI narrative is gaining momentum as the October 10th robotaxi event approaches.

This post was written by Melanie Riehl