Why Stocks Rallied Yesterday (It’s Not the U.S./U.K. Trade Deal)
What’s in Today’s Report:
- Why Stocks Rallied Yesterday (It’s Not the U.S./U.K. Trade Deal)
- Trump vs. Powell
Futures are modestly higher and are extending Thursday’s rally on more trade optimism.
Multiple media outlets boosted expectations for tariff relief at this weekend’s U.S./China meeting in Geneva.
Bloomberg and other media outlets are expecting tariffs on Chinese imports to be reduced to 50% or 60% (from the current 145%).
Today there are no notable economic reports but there are several Fed speakers including (in order of importance): Williams (11:30 a.m. ET), Waller (11:30 a.m. ET), Barkin (8:30 a.m. ET) and Goolsbee (10:00 a.m. ET). However, unless Williams is hawkish, their comments shouldn’t move markets.
Instead, trade anticipation should drive trading today and specifically any “chatter” about expectations for this weekend’s U.S./China trade meeting in Geneva (more optimism will push stocks higher while any negative commentary will pressure them).
