What Can Push Stocks Higher from Here?

What’s in Today’s Report:

• What Can Push Stocks Higher from Here? (Four Candidates)
• Weekly Market Preview:  Do the Three Pillars of the Rally Get Further Reinforced?
• Weekly Economic Cheat Sheet:  Focus on Growth Data this Week (Not Inflation).

Futures are drifting modestly higher following a quiet weekend of news, as markets digest the uptick in volatility so far in August.

Concerns about the Chinese economy grew this morning after real estate firm Country Garden suspended trading in select offshore bonds, reminding investors of Chinese property market volatility from years ago and reinforcing that recession risks in China are real.

There was no notable economic data overnight.

Today there are no notable economic reports so focus will remain on Treasury yields ahead of important economic data and earnings later this week. Generally speaking, the more calm the movement in yields (so no big rallies and no big declines) the better for stocks.