6,600 Dow Rally Points in Just Seven Days!
Tariff headlines induce an incredible risk-on rally
Highlights
• Tariff headlines induce an incredible risk-on rally
• Trade talks raise growth prospects and keep bond yields steady
• The key data point today is the April CPI release
• Stagflation risks loom amidst impending tariff shock
Key Takeaways
• Trade Hopes Fading Fast: The action in global equity markets is rather mixed. For a change, U.S. futures are not flashing green — a day after the major averages enjoyed their best session since April 9th, when the “reciprocal” tariffs were given a 90-day reprieve. Headline-induced bounces abound — but how many more of these are left in the tank? There is less than a “thaw” and more a realization by both sides that an effective trade embargo would trigger mutually assured economic destruction, both at home and across the planet.
