US equities opened in minor chop mode, but built significant gains into the early afternoon, with the SPX printing 3013... just 14pts shy of the recent historic high.
Then Trump let loose on Twitter...
News of an additional 10% tariff on Chinese goods, beginning Sept'1st. This sent equities imploding, with bond prices soaring, and yields collapsing.
It remains ironic that for a President who touts the equity market as one of his key personal/administration achievements, he is also the same person who has directly caused some of the most powerful intraday downward swings.
Equities settled the day very choppy, and ending broadly weak. Volatility swung from a low of 13.73, to surge to 19.46, and settling +10.9% at 17.87.
Ahead of an evening (political) rally...
... Trump appeared with further trade/tariff/market chatter, noting he is not concerned with today's downside reversal.
Additionally (from Wed' evening)...
As I've long stated, Bullard will be the natural replacement for Powell.
|Descending into the land of a slow motion currency crisis|
|Bearish summer skies|
Extra charts in AH (usually around 7pm EDT) @ https://twitter.com/permabear_uk
Goodnight from London
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