What’s going on in the world…
Market opens mixed on this first day of August. Apple and the Fed are the focus. Another strong earnings report from Apple is triggering demand for stocks. Tech has stabilized. However, without Apple, the DOW would have opened down roughly 30 points. Interest rates are higher ahead of the Fed statement today. A rate hike is not expected, but commentary about the US economy and global trade are. The Market will be paying attention very closely. The 10-Year Treasury yield cleared 3% in early trading for the first time since May. ADP reported 219K new jobs for July, much bigger than expected. The not so proven read-thru is a strong Non-Farm Payroll report on Friday. The US economy is in good shape, something you can’t say everywhere overseas. The White House is considering a raise on tariffs for imported goods from China. This comes just hours after it was rumored that talks have resumed to forge a deal between the US and China. It does look like a trade deal with Mexico could be in the cards. But Canada is being left out purposely for reasons not clear. It’s no wonder this Market gets jerked around so much.
Have a great morning,
Mike Frazier
