Log in to today’s North American session Market wrap for August 15
Today, US data showed some resilience yet again with the Retail sales coming as expected at 0.5%, with Markets selling the USD in the period that followed.
The current session has been a weird one, with almost everything linked to the US going down: Bonds, Cryptos, Equities, even US Oil have went down (except for Yields, logically) – This gives Stagflation impressions.
This comes as Markets were preparing for the currently ongoing Trump-Putin Meeting that doesn’t seem to be going terribly – Trump mentioned he would step out of the meeting if he deemed it was not going well, thing he hasn’t done just yet.
Putin got his pill of free press with chaotic questions leading to chaotic answers – it would be a lie to say that this is surprising.
Stay connected for the headlines on the Trump-Putin Meeting, most easily accessible sources would be on X (not always accurate however–watch out for fake news)
For the rest, the University of Michigan inflation expectations have risen quite strongly amid the imposition of tariffs that are starting to have their impact.
It will be key to look at how FED speakers react to that, and the answer might not be the one that supports Trump’s plead for lower rates.
There will be a few important ones speaking next week, and with the Jackson Hole Symposium, there’s a lot of cvoncurrent headwinds for volatility.
(I invite you all to get prepared for the upcoming week with out Markets Weekly Outlook!)