"Markets will welcome this rational, measured response from President Xi. By emphasizing that China will seek cooperation with other countries to achieve a win-win solution, Xi is projecting himself as the gentleman here."
"Looking at the stock charts – they look topsy-turvy. Yesterday looks a complete bubble – steadily up in the morning, but a parabolic tumble in the afternoon."
While the mainstream media were quick to blame the recent demise of US equity markets on Trump's trade-war rhetoric, BofAML's Michael Hartnett disagrees, correctly pointing out that risk assets have been struggling because of Fed tightening.
"In moderation they can be insightful, clever and helpful...When markets become confused and defy obvious explanation they can turn out to be the opposite of all of the above."
In the traditional data lull following the (disappointing) payrolls report, this week the market focus will be on US CPI and the FOMC minutes on Wednesday.
"I am in the process of leaving Facebook. It's brought me more negatives than positives. Apple has more secure ways to share things about yourself. I can still deal with old school email and text messages."
It's another "glass is half full" moment for global markets as Asian and European markets and S&P futures, are heading into the new week solidly in the green on renewed hopes a deal can be reached between the U.S. and China to avoid a full-blown trade war. The optimism won't last.
Bloomberg reported at 3am EDT that China is "evaluating the potential impact of a gradual yuan depreciation", as the country’s leaders are weighing their possible responses in the escalating trade war with President Trump.
"An inversion at the front end of the US curve is a significant market development, not least because it occurs rather rarely. It is also generally perceived as a bad omen for risky markets."
Smaller lenders are always the first to go - when the larger lenders start to feel the pain as well, we'll have a full blown crisis that we can no longer willfully ignore...
