How is the Market Ignoring the COVID Spike?

What’s in Today’s Report:

• How is the Market Ignoring the COVID Spike?
• Weekly Market Preview:  Is the Recovery Losing Any Momentum?
• Weekly Economic Cheat Sheet:  Key Growth Data Throughout This Week

Futures are modestly lower following underwhelming Chinese economic data and on a mild decrease in geo-political stability.

Chinese Retail Sales, Industrial Production, and Fixed Asset Investment all rose, but missed expectations and that’s weighing modestly on global stocks.

Geo-politically, the Taliban taking control of Afghanistan doesn’t have any direct market implications, but it is a political negative for Biden which could hurt the chances any infrastructure bill is passed.

Today the only notable economic report is the Empire Manufacturing Index (E: 30.0), and that’s more important than usual as markets will want to see if the Delta variant slowed economic activity in August.  If this number badly misses expectations, it will likely be a headwind on stocks today.