US Markets - First Look

S&P -26bp (on lows)

10-Year Yield 4.20

USD -46bp

Euro Stoxx -35bp

Brent -23bp

BTC -97bp

US Markets

US markets are fading a little as we wait for Powell to speak.

International Markets

European markets are slightly lower on light news.

• Switzerland stirs Brexit ghosts FT

Asia was mixed with Japan (-84bp) and HK (-88bp) weaker but mild gains elsewhere.

• Japan trade talks stall FT

Themes

• ECB economist says latest rate cycle is done CNBC

• BOE sees lower rates AP

• Trump keeps pressure on Powell NYT

• Markets learn to keep calm and carry on BN

Data

• Eurozone inflation rises to ECB’s 2% target FT

• Powell and Lagarde speak @ 9.30am. PMIs @ 9.45am. ISM and JOLTS @ 10am…

TMT:

• xAI raises $10b (cnbc)

• Senate removes provision limiting AI regulation (bn)

• Zuckerberg poaches more key talent from OpenAI (link)

Consumer:

• A new Google app uses AI to let you virtually try on clothes (link)

Industrials:

• EU factories continue their recovery (rtrs)

• Soon Amazon will have more robots than humans in its warehouses (wsj)

Transports/Autos/Airlines:

• That would be, ironic (rtrs)

• Monthly auto sales released throughout day.

Energy:

• Google strikes fusion power deal (axios)

• Gulf oil companies slow down M&A (ft)

• EPA bureaucrats are vewy, vewy angry (wsj)

Commodities:

• Japan digs in on rice (rtrs)

Housing/REITs:

• California dismantles landmark environmental law so it can build houses again (wsj)

• Bezos wedding may have boosted Venice’s economy by more than $1.1b (ap)

Financials:

• Wall Street is now post-tariff (axios)

• Big banks on a tear (bn)

• Investors are right to love dividends (wsj)

• Dollar weakness hits 1973 record (nyt)

Healthcare:

• Inflammation may be environmental rather than natural (nyt)

Politics:

• SCOTUS to hear a new challenge to campaign finance restrictions (axios)

• Senate vote stretches into night (cnbc)

• If Mamdani wanted to tax people by race, he should start with Asians (link)

• But he might want to start with Ugandan Americans (link)

NYC:

• Rent board approves 3% increase (nyt)

Misc:

• Queers for tyranny (link)

• Stupid is not illegal (ap)

• Pain and success (link)

• It’s a good thing Jews are funny (link)

Trivia:

• Beautiful Earth from space (link)

• Dogs catching treats (link)

• Every man’s dream (link)

• Hi, Sandy (nyp)

Quote of the Day: “The urge to save humanity is almost always a false front for the urge to rule it.” H.L. Mencken

Podcast/Track of the Day: The Secret To A Fulfilling Life Arthur Brooks

Random Factoid: A single neuron in your brain might form up to 10,000 connections (synapses) with other neurons.

This Day in History: The five Central American nations of Guatemala, El Salvador, Honduras, Nicaragua, and Costa Rica declare independence from the First Mexican Empire after being annexed the year prior. 1823.