It's relatively quiet week where the highlights will be the latest global PMIs, the Aug 23 US-China tariff deadline, the minutes from the last FOMC and ECB meetings and, of course, Jackson Hole looms at the end of the week.
"In the real world, Target2 imbalances are a measure of capital flight and loans that cannot be paid back...Real people have real fears, and they should. Anyone holding money in Italian banks is a fool."
While American companies have made much more noise about the destabilizing impact of President Trump's trade war, currency-related factors have been cited much more frequently as having had a negative impact on company performance...
"...the formation of moral values in society doesn’t come from the evolution of the consensus. No, it is the most intolerant person who imposes virtue on others precisely because of that intolerance. "
European stocks and U.S. futures blasted off higher early in the session following yesterday's euphoric, meltup close to US trading, but have since pared their gains as dark clouds gather over the G-7 meeting in Toronto and a growing number of emerging markets.
It is a sea of red in global markets this morning amid a quartet of risks, including the Turkish lira meltdown, weak European PMIs, the Italian political quagmire and Trump casting doubts over the North Korean summit.