Log in to our mid-week North American Markets overview, where we examine the current themes in North America and provide an overview of indices and currency performances.
All markets have been waiting long for Friday’s Non-Farm Payrolls release (8:30 A.M. ET), as no other piece of data seems to count anymore. (Markets are still keeping an eye on inflation-led tariffs, of course, but it appears that Labor still takes the upper hand.)
It seems that with the latest speech from Canadian PM’s Mark Carney and some political micmacs, the relationship between him and US President Trump has been rebuilding, but markets are still awaiting for more.
Since Friday, August 22nd, FED Chair Powell’s speech at the Jackson Hole conference, Equity Markets have been holding strong amid a lack of diplomatic progress (wars don’t affect markets too much these days).
Another element that underlies stocks’ resistance to fall is the bizarre Market atmosphere that is felt when looking at the ongoing skyrocketing price action in Metals.
Yields are going up throughout the globe (down small today in the US), and metals are rising. This shows that the ongoing trade resembles another phase of currency debasing.
Don’t forget that metals are US dollar-denominated, and with the rangebound FX markets, these are direct fiat currency outflows – Monitoring gold purchases from Central banks and outflows from exchanges could be interesting for the period to come.
By the way, before we tackle the charts of this mid-week recap, metals keep creating more craziness in markets with this anecdote: The London Metal Market delayed its open to 9:30 for mysterious reasons (probably the exchange or some big players being caught in awkward positions).
