S&P 500 ekes out sixth winning day as investors look past U.S. credit downgrade.
As shown below, US CDS (red line) barely moved on the news. And any way, investors are more focus on the green line (global trade policy uncertainty) than anything else. Source: zerohedge
The People’s Bank of China trimmed the 1-year loan prime rate to 3.0% from 3.1%, and the 5-year LPR to 3.5% from 3.6%.
A slew of state-backed commercial lenders moved to cut their deposit rates by as much as 25 basis points earlier Tuesday. As mentioned by Mo El Erian, the question remains: will this prolonged period of policy incrementalism reach a critical mass that fundamentally alters household sentiment and consumer behaviour? So far, it has failed to do so. Source: Bloomberg, CNBC
🚨Are investors too complacent?
The US equities put/call ratio fell from the highest level in 12 months to the 2nd-lowest level this year. Since the 2022 bear market, the put/call ratio has rarely been this low. Source: Global Markets Investor
#bitcoin
How it started... and how it is going
+0.64 PERCENTAGE POINTS!
This was the INCREASE in INFLATION over the last 18 days. If inflation is not controlled, interest rate cuts will be postponed, and this could have a strong impact on the markets.
Since 2016, S&P 500 has only had 2 red months during the May-July period 📈📈📈
Source: barchart
Yes, 2025 is likely to be a record year for EU equities funds inflows (according to BofA/EPFR, +$110bn inflow annualized, which will be the biggest since '15).
But despite all the US bashing, it could be a very strong year for US equities inflows as well. Indeed, US equities funds are on course for $416bn inflow, the 2nd biggest year ever... Source: BofA, EPFR
Breaking news:
The UK and EU have agreed a historic post-Brexit reset of ties ahead of a summit in London on Monday, officials said - link to FT article >>> https://lnkd.in/ea6m_PnK The UK and EU have agreed a historic post-Brexit reset of relations after a “late breakthrough” in overnight talks ahead of a summit in London on Monday, officials on both sides said. The UK agreed to open its fishing waters for 12 more years to EU boats — a move that will be condemned by the opposition Conservatives — according to Brussels officials. In return, UK Prime Minister Sir Keir Starmer has secured a veterinary deal that will remove much red tape for British farming and fisheries exports to its biggest market, in a much-sought economic prize of the “reset” talks. Three EU diplomats confirmed Brussels had dropped demands to link the duration of the agrifood deal to the one for fish, while British officials confirmed that a deal on the two issues had been done. Both sides were locked in intense haggling through the night over key details of their revamped relationship, including on fisheries and food trade, along with wording about a proposed youth mobility scheme. Source: FT
