Stock Markets in a Coffee Break from Europe

Wall Street opened sharply lower for no apparent reason, with exaggerated movements due to low volumes, dragging down a Europe that was pointing towards a rather flat close. In the absence of obvious culprits, attention turns to the T-Note yield. This loosens -9 bp to 4.54%, but Trump is at the door and, with inflationary policies, the fear of a rebound in bond yields causes some preventive profit-taking… and justified after the generous balances of the year, especially in American stocks (~+23%/+26%), Europe (+8%). Macro, concentrated in the US, was mixed and second-tier (Chicago PMI bad, Housing Starts great and Dallas Fed manufacturing indicator very good). It went unnoticed because, by the time it was published, the markets had already gained downward momentum. Today is a semi-holiday session in Europe, whose markets will close at midday (2 pm) and without any publications of interest. In the US, the day will run on its usual schedule and there will be references. The most relevant...