Market opens flattish to begin the new week. After months of bittering and divisive campaigning, the midterm elections are just one day away. Sanctions were put back on Iran at midnight, which intend to cripple the Iranian economy and prevent oil purchases from the rogue nation. Temporary adjustments have been allowed for a handful of nations, including China and India. Crude prices are higher, but have been hammered this Fall. Energy stocks have been hurt too. Chinese President Xi Jinping announced some cuts on trade tariffs over the weekend, but also sent a dig towards the White House tactics. The meeting of the 2 Presidents are still on for the end of the month and tensions will continue. The Market seems to like the prospects but isn’t pricing much in yet. My sense is that an understanding is reached in Argentina which will delay the increased tariffs slated to hit in January and a deal gets done in early 2019. The US Economy continues to grow but Global Growth is slowing. Trade tensions are playing a role. The price of money has risen. The Fed meets this week, but a rate hike is not expected. The Market will no doubt pay close attention to outlook and commentary. President Trump, in an interview, said that his administration is looking into anti-trust violations by Amazon, Facebook and Google. Volatile price action continues.
Have a great morning,
Mike Frazier
