What Would Make the UN and Trump/XI Meetings Bullish Catalysts?
What’s in Today’s Report:
- What Would Make the UN and Trump/XI Meetings Bullish Catalysts?
Futures are little changed despite a further drop in oil as markets await potential diplomatic progress in the Middle East.
Oil dropped another 2% overnight on a Kyodo news article that stated Iran offered to fully reopen Hormuz for seven days as a first step towards de-escalation, although that has not been confirmed by the U.S. or Iran.
Economically, the only notable number overnight was Eurozone Consumer Confidence and it slightly missed estimates (-16.8 vs. (E) -15.5).
Today focus will stay on geopolitics and if there’s any confirmation of progress towards a ceasefire between the U.S. and Iran, look for oil and yields to fall further and for stocks to rally.
Beyond geopolitics, there are no notable economic reports today but there are several Fed speakers, the most important of them being Williams at 10:05 a.m. ET. If Williams is a bit dovish, that should help stocks rally. Other Fed speakers today include Jefferson (10:20 a.m. ET) and Barkin (1:00 p.m. ET).
