‘A record high for the Nasdaq was the cherry on top for Wall Street after a strong batch of US jobs numbers helped the market power home on Friday’ (via Fast FT)
...no surprises to see CNN’s fear and greed index returning to more middle-of-the-road levels
But the heightened volatility is not over in my view, not with higher bond yields and world trade ‘discussions’. On the latter with the US making most of the at-the-margin running, kind of interesting to see non-US purchases of T-bills proportionately heading south...
(h/t @Schuldensuehner) (note the slight ‘chart crime’ on the y-axis though!)
For what it is worth, I still think Trump is ‘talking loudly and carrying a small stick’ and considerations such as the financing of the US deficits and the influence of a lower dollar (which achieves trade deficit closing ‘benefits’ with much less of the angst) will be apparent. However as indicated below Europe will be impacted more than the US in any trade ‘war’ due to its greater proportional openness.
And let’s hope the sentiment expressed in the second graphic above holds.
Last week we talked a lot about European political breaking news. So how is the government formation in Italy going? Messily it seems... To read the rest of Stories we should be thinking about click for free access HERE.