### Summary
The upcoming Jackson Hole Symposium is expected to deliver a hawkish but cautious message from the Fed chair, with a focus on the strong US economy, resilient US consumer, and persistent inflation.
### Facts
- ๐ Last year, the markets experienced a major selloff following the Fed chair's unexpectedly hawkish speech at Jackson Hole.
- ๐ช This year, the markets are pessimistic due to the strong US economic numbers, including a predicted 5.8% growth for Q3.
- ๐๏ธ The Fed chair will likely discuss the possibility of a November rate hike but may roil the markets if he mentions further rate hikes.
- ๐ The slowdown of China's economy is a concern as it is the second-largest economy globally, and reduced outlooks for Chinese GDP are being reported by major institutions.
- ๐ผ China's high levels of local government debt and shadow banking pose a risk of contagion, with real estate and shadow bank crises being the main focus.
- ๐ A selloff in China could lead to an emerging market selloff, but India may experience a heavier selloff due to the significant amount of money investors have made there.
- ๐ The opaque nature of China's government and lack of data make it challenging to fully understand the depth of the country's economic issues.
### Summary
The US economy and markets appear to be in good shape, with a strong stock market, low inflation, and low unemployment. However, there are potential risks on the horizon, including the impact of the Federal Reserve's monetary tightening, supply and labor shocks from the pandemic, political polarization, and the possibility of another government shutdown. While the overall outlook for investing remains uncertain, it's important for investors to prepare for any eventuality.
### Facts
- The US stock market is close to its 2022 peak, inflation is less severe than a year ago, and the economy remains strong with low unemployment.
- The Federal Reserve has raised interest rates by 5 percentage points, which could lead to economic growth faltering.
- The US economy is facing supply and labor shocks from the pandemic and commodity shortages caused by Russia's war with Ukraine.
- Falling prices in China could contribute to disinflation in the US and elsewhere.
- Political polarization in the US and the possibility of another government shutdown could negatively impact the economy and markets.
- Despite the resilience and stability of the economy and markets, there are still risks to consider, including a crisis in commercial real estate and the potential for inflation to flare up again.
- Some economists and surveys predict a 50% probability of a recession occurring within the next 12 months.
- Investing should be based on a long-term outlook and a diversified portfolio, with cash on hand to cover expenses.
Note: Due to the nature of the text provided, some of the facts may be subjective or based on the author's opinion.
### Summary
The stock market and house prices are at risk of crashing, while Bitcoin has already fallen. Investors are concerned about rising interest rates, the Chinese property market's instability, and the overall economic outlook.
### Facts
- The S&P 500 and FTSE 100 indexes have been declining, with the S&P 500 falling four percent over the last month and the FTSE 100 showing minimal progress.
- The Evergrande Group, a major Chinese property giant, has filed for bankruptcy with significant liabilities, adding to concerns about the Chinese economy.
- Youth unemployment in China is high and predictions of a crash worsen unless massive stimulus packages are implemented.
- The UK property market is uncertain, with predictions of a potential 25 percent crash in house prices due to disappointing inflation figures and potential interest rate hikes.
- Bitcoin has already experienced a ten percent drop in the last week, reflecting a bearish sentiment in the market.
- The copper price, often used as an economic indicator, has fallen 12.64 percent over the last six months, suggesting an economic slowdown.
### Other Points
- Experts like Michael Burry and Jeremy Grantham are predicting a stock market crash, with Grantham even comparing it to the 1929 Wall Street Crash.
- It is important not to put too much trust in doomsayers, as they have often been wrong in the past.
- The author of the article is personally feeling gloomy about the economic outlook.
### Summary
The global economy is showing signs of decoupling, with the US economy remaining strong and China's economy disappointing at the margin. The recent data suggests that the US economy is resilient, with consumption and other indicators pointing in a positive direction. However, there are concerns about the bear steepening of the US curve and the repricing of the long end of the curve. In contrast, China's economy continues to struggle, with weak data and monetary policy easing. Japan has surprised with positive data, but there are questions about whether the current inflation shift will lead to tighter monetary policy. Overall, there are concerns about a potential global economic recession and its impact on various economies.
### Facts
- ๐ฐ Despite the decoupling of the US and China economies, concerns remain about the negative impact of a China slowdown on global growth.
- ๐น Recent data show that the US economy, particularly consumption, remains resilient.
- ๐ The bear steepening of the US curve and the repricing of the long end of the curve are causing concerns.
- ๐จ๐ณ In China, weak data on consumption and investment and declining house prices continue to affect the economy. The PBoC has eased monetary policy.
- ๐ฏ๐ต Japan's 2Q data surprised with strong export growth, but there are concerns about the impact of a potential inflation shift on global yields.
- ๐ The global economy is at risk of recession, with concerns about the impact on emerging market economies and the US economy.
### Summary
Saudi Arabia's stock market ended higher on Sunday due to the rise in oil prices, although gains were limited as investors awaited further interest rate insight from the U.S. Federal Reserve.
### Facts
- ๐ Saudi Arabia's benchmark index gained 0.4%.
- ๐ Petrochemical maker Saudi Basic Industries Corp rose 1.7%.
- ๐น Riyad Bank increased by 1.8%.
- โฝ๏ธ Oil prices rose about 1% following a slump in U.S. crude production, leading to an anticipated supply tightness.
- ๐ฅ Qatar's index edged 0.1% higher, boosted by a 1.3% gain in Commercial Bank.
- ๐ฐ Investors will scrutinize a speech from Fed Chair Jerome Powell on Friday for clues about the interest rate outlook.
- ๐ฑ Gulf countries tend to follow the Fed's rate move as most regional currencies are pegged to the U.S. dollar.
- ๐ฐ๐ผ Only the Kuwaiti dinar is pegged to a currency basket that includes the dollar.
- ๐ Egypt's blue-chip index added 0.4%, with tobacco monopoly Easter Company advancing 2.9%.
### Summary
Investors will be watching Federal Reserve Chairman Jerome Powell's speech at the Jackson Hole symposium for clues on the economic outlook and future interest rate hikes. China's property crisis and its impact on the economy, PMI data from the Eurozone and UK, and oil prices will also be key factors to watch.
### Facts
- ๐ Investors will be looking to Fed Chair Jerome Powell's speech at Jackson Hole for insight into the economic outlook and the future path of interest rates.
- ๐น Markets will be focused on Powell's speech and earnings from chip designer Nvidia to gauge the interest rate outlook and market sentiment.
- ๐จ๐ณ Expectations are rising for China to cut the loan prime rate amid concerns of a deepening crisis in the country's property sector.
- ๐ PMI data from the Eurozone and UK will offer insights into potential interest rate hikes by the European Central Bank and the Bank of England.
- โฝ๏ธ Oil prices declined last week due to concerns over global demand and the worsening property crisis in China.
Note: The use of emojis has been replaced with corresponding keywords.
### Summary
Oil prices rose in Asian trade, unfazed by China's disappointing interest rate cut, as the prospect of tighter supplies supported the outlook.
### Facts
- ๐ฐ Oil prices rose in Asian trade, shrugging off China's interest rate cut.
- ๐ข๏ธ Concerns over slowing demand in China and rising US interest rates had driven steep losses in crude prices.
- ๐ China cut its one-year loan prime rate by 10 basis points to 3.45%, disappointing market forecasts for a larger cut.
- ๐ข Lack of changes in the mortgage rate raised concerns over a worsening real estate crisis in China.
- ๐ Deep production cuts from Saudi Arabia and Russia are expected to limit crude supplies by nearly 70 million barrels over 45 days.
- ๐บ๐ธ Robust fuel consumption in the US, particularly during the summer season, pointed to tighter markets.
- ๐ Analysts expect oil prices to remain relatively higher for the rest of the year, despite the prospect of higher interest rates affecting US demand.
### Summary
The People's Bank of China is expected to cut interest rates, but may need to take a larger action to calm the uncertainty in the market. Other factors like the US Federal Reserve's Jackson Hole Symposium and the BRICS summit will also impact investor sentiment.
### Facts
- ๐ฐ The People's Bank of China is expected to cut interest rates to soothe market concerns.
- ๐ผ Bank of Korea and Bank Indonesia are expected to keep interest rates on hold this week.
- ๐ The US Federal Reserve's Jackson Hole Symposium and the BRICS summit will affect investor thinking.
- ๐ Chinese policymakers' conservative nature may result in more aggressive moves in the interest rate cut.
- ๐ The currency is already weak and vulnerable, posing a risk to further cuts.
- ๐ Economists are lowering Chinese GDP growth forecasts, doubting the country will achieve its 2023 goal.
- ๐๏ธ The real estate crisis and the scale of indebtedness raise questions about the stability of the shadow banking system.
- ๐ง Beijing is taking steps to boost confidence, but measures seem insufficient.
- ๐ Chinese blue chip stocks have decreased by 6% in the last two weeks.
- ๐ Global markets are facing a deteriorating backdrop, with the dollar surging, US Treasury yields rising, and stock markets experiencing instability.
- ๐๏ธ Key developments on Monday include China's interest rate decision, Thailand's Q2 GDP, and Hong Kong's July inflation.
### Summary
- European stocks rebound after a drop last week, while bond yields rise ahead of the Fed's Jackson Hole event.
- China's smaller-than-expected rate cuts and weak economic data disappointed investors.
### Facts
- ๐ European stocks edge higher after last week's rout.
- ๐ China stocks hit a 9-month low as rate easing underwhelms.
- China's central bank trims its one-year lending rate by 10 basis points, while leaving its five-year rate unchanged.
- Expectation remains for further stimulus from China.
- Asian shares decline due to disappointment, with Chinese blue chips falling to a nine-month low.
- Energy companies outperform as oil prices rise.
- Oil prices edge higher after a seven-week winning streak.
- Bond market sell-off leads to higher government borrowing costs.
- U.S. Treasury yields continue to rise, with the 30-year yield touching a fresh 12-year high.
- The U.S. Federal Reserve's Jackson Hole conference is the key event for the week.
- Markets anticipate that Fed Chair Jerome Powell will address rising yields and strong economic data.
- Polls indicate that a majority of analysts believe the Fed is done hiking rates.
- Traders bet on a just under 40% chance of a final Fed hike by November.
- U.S. dollar trades flat after five weeks of gains.
- Gold prices affected negatively by the rise of the dollar and yields.
- Prices for liquefied natural gas (LNG) supported by a potential strike at Australian offshore facilities.
- Dutch payments processor Adyen's shares drop amid concerns over weak earnings.
- Earnings from Nvidia will be closely watched.
Note: The given content contains parts that do not match the provided date range.
Volatility and rising interest rates have caused a pullback in U.S. equity markets, particularly impacting the technology sector, but investors should not panic as pullbacks are normal in a bull market and present buying opportunities. China's deteriorating economic conditions and weak seasonal trends have also contributed to the selling pressure. However, support is expected to be found in the 4,200 to 4,300 range in the S&P 500, and the Federal Reserve's likely end to the rate-hiking cycle and improved earnings should provide fundamental support for investors to buy the dip.
Federal Reserve Chair Jerome Powell warned that inflation and economic growth remain too high, indicating that interest rates may continue to rise and remain restrictive for longer. However, markets rebounded, with US stocks rallying and Asian markets starting the week on a high note. The Hong Kong stock market saw contrasting performances, with China Evergrande Group plunging while Xpeng soared. US Trade Representative Katherine Tai highlighted China's dominance in rare earth metals, making US supply chains vulnerable. Investors will be watching for the Personal Consumption Expenditure report and the August jobs report to gauge the Fed's future rate decisions. Powell's ambiguous remarks left room for interpretation, with markets focusing on the positive outlook for economic growth rather than the cautionary tone on interest rates.
Stocks anticipate Friday's jobs data report, China's economic situation worsens, and oil demand is under pressure due to elevated interest rates and the threat of Tropical Storm Idalia.
Concerns of a stock market crash are growing as economists await the release of the second-quarter GDP report, which could provide insight into the impact of the Federal Reserve's rate-hike campaign and future monetary policy changes. The report may have a significant effect on equity markets, which have been sensitive to economic data releases this year.
Global markets are watching for the latest round of retailer earnings reports as well as the release of the July Job Openings and Labor Turnover Survey from the Bureau of Labor Statistics, while European indexes are being boosted by a jump in commodity prices linked to China's stimulus measures.
The US dollar experienced a major technical reversal due to a weaker JOLTs report, leading to a drop in US interest rates, while market positioning played a role in the price action; the focus now shifts to personal consumption figures and US jobs data, with the euro and sterling firm but most other G10 currencies softer, and emerging market currencies mixed. In Asia, most large bourses advanced, but Europe's Stoxx 600 fell after rallying in previous sessions, while US index futures traded softer; European bonds are selling up, gold is consolidating, and oil prices are firm. Australia's CPI slowed more than expected, China is expected to release the August PMI, and Japan reports July retail sales. The US dollar has seen no follow-through selling against the yen, yuan, or Australian dollar, while the euro and sterling staged impressive price action. The JOLTS report saw the dollar and US rates reverse lower, and today the US reports advanced merchandise trade figures for July, with the Canadian dollar as the worst performing G10 currency yesterday.
Markets show signs of slowing after new economic data, with focus on Friday's jobs report and the possibility of a pause on rate increases. Oil prices are impacted by Chinese factory activity and expectations of supply cuts.
Summary: The stock market shows signs of a rally, with major indexes surpassing the 50-day line and Treasury yields decreasing, growth stocks are leading, and software companies like Salesforce, MongoDB, and CrowdStrike reporting positive earnings; meanwhile, Amazon and Shopify announce a deeper partnership, and Tesla unveils an upgraded Model 3 while also lowering prices. Additionally, a near-perfect jobs report and tamed inflation data suggest that the Fed may not continue with rate hikes.
Stock markets showed signs of improvement last week, fueled by hopes of a Goldilocks economic scenario, despite downward revisions in Q2 GDP growth and a slowdown in housing prices, while robust hiring and a decline in wage growth raised concerns about a cooling job market. The strength of U.S. consumers and the moderation of the Consumer Confidence index are factors that could influence the Federal Reserve's decisions on inflation, with investors advised to rely on trustworthy data and analysis. Noteworthy upcoming earnings and dividend announcements include Zscaler, Gitlab, GameStop, C3ai, American Eagle, DocuSign, and Kroger. Key economic reports this week will focus on Factory Orders, ISM Services PMI, and Q2 Non-Farm Productivity and Unit Labor Costs.
Wall Street's major averages slumped due to a fall in Apple shares, concerns over elevated oil prices, and worries about the impact of inflation, while an unexpected rise in a key U.S. services activity gauge raised concerns about higher interest rates.
Stock indices finished todayโs trading session in the red, with the Nasdaq 100, S&P 500, and Dow Jones Industrial Average all falling. The technology sector was the session's laggard, while the utilities sector was the leader. The U.S. 10-Year Treasury yield increased, and the Atlanta Federal Reserve's latest GDPNow reading estimates that the economy will expand by about 5.6% in the third quarter. The Federal Reserve released its Beige Book report, noting a tourism boom but slower spending in other areas. The ISM Non-Manufacturing Purchasing Managers' Index came in higher than expected, and mortgage applications fell to their lowest level since 1996. The U.S. trade deficit widened less than expected in July. U.S. stock futures inched lower, and European indices trended lower. Asia-Pacific markets were mixed.
Summary: Rising oil prices and increasing gas prices, driven by the Russian-Saudi agreement to extend oil production cuts, are contributing to inflation concerns and putting pressure on the markets, leading to potential gains for oil stocks like ConocoPhillips and Chevron.
The US dollar's strength in the foreign exchange market, along with discussions of de-dollarization, highlights the divergence between the US and other major economies. The Dollar Index is on an eight-week rally, reaching a record high in international payments, while the euro's share has declined to a record low. In the week ahead, the US CPI and the ECB meeting are expected to be major events, with the US showing signs of inflation and weaker demand, and the euro facing challenges amid stagnation and inflation. China's CPI and PPI have shown some improvement, but the focus will be on yuan loans and real sector data. The eurozone's focus will be on the possibility of a rate hike by the ECB and the release of July industrial production figures. Japan's household consumption continues to fall, and the country may experience a contraction in Q3. The UK will release employment data and GDP details, while Canada will see data on existing home sales and the CPI. Australia will release its August employment data, and Mexico's peso positions may continue to adjust due to the winding down of the currency forward hedging facility.
The US economy is facing a looming recession, with weakness in certain sectors, but investors should not expect a significant number of interest-rate cuts next year, according to Liz Ann Sonders, the chief investment strategist at Charles Schwab. She points out that leading indicators have severely deteriorated, indicating trouble ahead, and predicts a full-blown recession as the most likely outcome. Despite this, the stock market has been defying rate increases and performing well.
The U.S. Consumer Price Index (CPI) is expected to have jumped 0.6% in August, driven by resurgent oil prices, while the core CPI is anticipated to have dipped to a 4.3% year-over-year pace; this higher inflation has dampened the summer rally for bitcoin and other cryptocurrencies, as interest rates are likely to stay higher and for longer than anticipated by investors.
Uncertainty in various sectors, including potential strikes, government shutdowns, geopolitical tensions, and the question of future Federal Reserve interest rate hikes, is causing markets to lack conviction, but this week's inflation readings could provide direction for the markets. If inflation comes in below expectations, it may signal that the Fed will not hike rates further, while stronger-than-expected inflation could lead to more rate hikes and market volatility. Additionally, increasing energy prices and the potential strike by the United Auto Workers union add to the uncertainty.
Stock indices closed in the red, with the Nasdaq 100, S&P 500, and Dow Jones Industrial Average all experiencing declines, while the technology sector underperformed and the energy sector led the session. The U.S. 10-Year Treasury yield dropped, while the Two-Year Treasury yield increased. The Small Business Optimism Index for August decreased, with inflation cited as a major concern among small business owners. Stocks opened lower on Tuesday, and U.S. futures trended lower as well. This week's focus will be on the Consumer Price Index and Producer Price Index data, which could impact the Federal Reserve's decision on rate hikes. Oracle's stock fell after missing sales estimates, while Casey's General and Tesla saw gains. JPMorgan's CEO criticized new Basel III regulations, and European indices traded in the green. In Asia-Pacific, markets ended mixed as traders await U.S. inflation data.
The latest data on inflation, gas prices, SNAP benefit cuts, job prospects, Wells Fargo layoffs, student loan scams, and McDonald's beverage stations are discussed in this financial news update.
The Federal Reserve is unlikely to panic over the recent surge in consumer prices, driven by a rise in fuel costs, as it considers further interest rate hikes, but if the rate hikes weaken the job market it could have negative consequences for consumers and President Biden ahead of the 2024 election.
European markets were stagnant as investors awaited a decision from the European Central Bank on whether to raise interest rates for the tenth consecutive meeting, while carmaker shares dropped following an investigation into electric vehicle subsidies by the European Commission and concerns over Chinese retaliation. Additionally, the oil market is keeping a close eye on the possibility of crude prices reaching $100 a barrel as Saudi Arabia and Russia plan to extend production cuts until the end of 2023.
Stronger-than-expected U.S. economic data, including a rise in producer prices and retail sales, has sparked concerns about sticky inflation and has reinforced the belief that the Federal Reserve will keep interest rates higher for longer.
Gasoline prices are rising due to oil supply cuts in Saudi Arabia and Russia, as well as flooding in Libya, but some experts believe that increasing oil prices will not have a significant impact on the US economy and do not expect them to rise much higher in the next year or two due to factors such as increased US oil production, slow global economic growth, and the green energy transition. However, high oil prices can lead to higher inflation, potential recession, and could influence the Federal Reserve to raise interest rates, but the impact may not be as severe as in the past, and some experts recommend investing in the energy transition and adopting a more defensive investment strategy.
World markets are cautious ahead of central bank decisions and concerned about inflation signals amidst rising oil prices, as crude oil reaches its highest levels of the year due to supply cuts from Saudi Arabia and Russia, while US production also falls.
Stock indices are in the red as oil prices continue to rise, with Chevron's CEO predicting prices could reach $100 per barrel due to reduced US shale oil output and OPEC's supply cuts, while the US Federal Reserve is holding off on easing liquidity until there is a significant reduction in wages to counterbalance a current yearly wage increase of 4.3% and maintain a 2% inflation rate.
The recent global supply concerns caused by Russia's fuel export ban are driving up oil prices, counteracting the demand fears driven by macroeconomic headwinds and high interest rates.
Investors are focusing on the release of economic reports on GDP and inflation as they evaluate the Federal Reserve's stance on interest rates and its efforts to cool down inflation. Metal prices have slipped due to concerns over global demand and the economy, and the risk of a government shutdown is also adding to the bearish sentiment. Earnings reports from various companies and core PCE inflation data are expected in the week ahead.
Global markets face pressure as U.S. bond yields surge and the dollar strengthens; Hollywood screenwriters reach a tentative deal to end strike; global shares decline, dollar rises ahead of crucial U.S. inflation data; Vietnam aims to challenge China's rare earths dominance; Canadian economy headed for a rough patch; Trudeau expects Canadian interest rates to decrease by mid-2024.
Concerns over a possible U.S. government shutdown, rising oil prices, and a heavy schedule of Treasury debt sales are adding pressure to the markets, along with the ongoing property crisis in China and the effects of last week's hawkish Federal Reserve projections.
Marko Kolanovic, chief markets strategist at JPMorgan Chase, warns that a potential decline in inflation in late 2023 could challenge the stock market and weaken the pricing power of businesses, particularly in industries such as retail, automotive, and airlines. He also expresses concerns about the delayed effects of interest rate hikes on the economy, although he upgrades JPMorgan's position on global energy stocks due to expected increases in oil prices. Kolanovic foresees Japanese stocks performing well and suggests that China is entering a "buying zone" with potential trading opportunities in Chinese equities.
Asia-Pacific markets fell ahead of China's industrial data and Australia's inflation figures, while the US experienced a sell-off after disappointing economic data, causing the Dow Jones Industrial Average to fall below its 200-day moving average for the first time since May. Additionally, oil prices continue to rise, putting crude on track for its best quarter in over a year, and Tesla shares dropped after reports of an EU investigation into whether the company and other European carmakers are receiving unfair subsidies for exporting from China.
A spike in crude oil prices to the highest level of the year adds to the challenges faced by world markets, leaving investors turning to the Federal Reserve chair for reassurance amidst concerns over inflation, a potential government shutdown, unresolved autoworker strikes, and the Chinese property sector bust.
Major cryptocurrencies like Bitcoin, Ethereum, and XRP are anticipating a potential surge in price due to a "worst-case" scenario from the Federal Reserve, according to JPMorgan CEO Jamie Dimon.
Oil prices hit their highest levels in over a year as ongoing production cuts raise concerns about the global economy, while the specter of $100 oil looms and supply tightness becomes apparent with reduced stockpiles and increased refining. Higher interest rates may dampen crude demand, but for now, the focus remains on supply.
Summary: Global stock markets were mixed overnight, with Asian and European stocks showing a mixed to firmer trend. The Dow in the US opened higher but pared gains. In other news, US equities in September have seen declines and this month has been historically weak, while October historically performs better. The US core PCE prices in August showed a modest monthly increase of 0.1% and a decrease in the annual inflation rate, potentially impacting the Federal Reserve's rate hike decision. Eurozone's inflation rate dropped to 4.3% in September, suggesting a potential easing of interest rate hikes. Also, mortgage rates reached a nearly 23-year high, causing concerns for homebuyers and sellers and contributing to a decline in home sales. A potential government shutdown in the US looms as House Speaker Kevin McCarthy struggles to secure votes for a funding extension, raising concerns about economic consequences. Credit agencies are monitoring the situation and warning of negative impacts on the US credit rating. In Russia, President Putin met with a former commander of the Wagner group to discuss volunteer units in Ukraine, while Russia plans a surge in military spending amid the Ukraine conflict. In China, progress is being made in diplomatic exchanges between the US and China, paving the way for a potential Xi/Biden summit. The Biden administration's proposed oil lease sale plan is expected to be the smallest ever, reflecting concerns about climate change. USDA announced over $3 billion in funding for climate-smart practices in FY 2024, while a potential government shutdown may disrupt support for agricultural producers. Sen. Feinstein has died, temporarily reducing Democrats' majority in the Senate. Migrant crossings of the Dariรฉn Gap have surged to 400,000 in a year, and the Supreme Court will decide if state laws limiting social media platforms violate the Constitution.
Multiple factors, including a drop in US markets, high US Treasury yields, rising crude oil prices, increased Chinese Treasury sales, and a slowdown in Chinese real estate, suggest challenging times ahead for the markets.
Stocks slip as U.S. crude futures drop and mortgage rates climb, while investors await payroll data for signs of a slowing job market; electric vehicle stocks like Rivian and Lucid are making moves, and the U.S. Dollar Index rises for its 12th consecutive week. European stocks close mixed, and utilities stocks see their worst year in over a decade due to higher bond yields.
Concerns surround the upcoming release of U.S. payrolls data and how hawkish the Federal Reserve needs to be, as global markets experience a period of calm following a tumultuous week that saw Treasury yields rise to 16-year highs, crude oil prices drop, equities decline, and the yen strengthen. Japanese government bond yields are also causing concern, as investor sentiment towards the Bank of Japan's stimulus remains low.
U.S. stocks dipped as investors awaited the September jobs report, while Asian markets traded higher; the 10-year Treasury yield remains at an elevated level and could cause a 20% sell-off in the S&P 500, according to JPMorgan Chase's Marko Kolanovic; China plans to ease rules on data exports, potentially benefiting foreign companies; the September slump in stocks presents a "tremendous opportunity" for value investors; trading volume was subdued as investors braced for the storm that is the September jobs report, which will determine the market's direction.
