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Early Morning with Dave
Political Turmoil in France; Trade Tensions Resurface; President Trump Moves to Fire Lisa Cook

Political Turmoil in France; Trade Tensions Resurface; President Trump Moves to Fire Lisa Cook

Trump firing of a Fed Governor unsettles Treasuries

David Rosenberg's avatar
David Rosenberg
Aug 26, 2025
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Early Morning with Dave
Early Morning with Dave
Political Turmoil in France; Trade Tensions Resurface; President Trump Moves to Fire Lisa Cook
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Highlights

• Trump firing of a Fed Governor unsettles Treasuries

• Threats of tariffs on China bring the trade file back into view

• The risk-on trade ignores massive uncertainty

• European equities and French bonds are jittery on renewed political turmoil

Key Takeaways

• Equities Receding from Friday’s Rally: We continue to see the supersized Friday rally subside, with U.S. equity futures in the red once again. The Euro Stoxx 50 has shed -1.0% here in the early going, and Asia gave up most of yesterday’s advance — the MSCI Asia-Pacific closed with a -1.0% loss, with the Emerging Markets index on pace for the same.

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