But growth was soft. Thats not something the fed wants to hear. Similarly you take a look at data out of japan, tokyo cpi, even accounting for the start of education subsidies, something the boj might not want to hear, but we are still seeing stocks powering ahead today and this is six in large part to what we got on the earnings front, you had microsoft and alphabet. It really showed how ai is fueling growth. Stocks are reversing, some of the softness from yesterday. We are seeing chinese tech, really stealing the limelight and hong kong markets headed for their best week since 2022. The yen is hovering flat against the dollar as we wait for what we get from the boj, lets take a look at stock Market Movers because i think that is what highlights how quickly sentiment can turn for some chip related names and how closely they are still tied to their u. S. Peers and big tech names. Yesterday, they slid and today recovering. Lets look at jgb futures as well. As i said, we got data out of
The stories that set your agenda. 100 dollars a barrel march continues as the u. S. Oil benchmark its a oneyear height with stockpiles and hitting one year at levels and fears around and inflation uptick are growing. Especially in asia where stocks are under pressure. On the docket german and spanish inflation data, one more puzzle piece on what the ecbs move might be on when traders bet on a rate cut next july. Plus italy plans to bring its budget deficit below the limit set by the eu but only in 2020 six. The delay risks a confrontation with brussels. A lot of a cross currency air. A lot of different market pressures lets get a quick check on the market futures because like i said you are seeing a pullback in those asian equities. A lot of pain in the nikkei and the hang seng. We will get to that in a moment but futures indicating that that is not a global story just yet. The underperformer of the board will be euro stocks, 50 futures really unchanged. I would not call this a big mov
This is bloomberg surveillance alongside Lisa Abramowicz and annmarie hordern. The two of the issues under the Global Economy right now, right here in washington, d. C. The sustainability of the deficit in the u. S. And mr. Risch toward industrial policy. Front and center. Every conversation you have read outcome all roads lead back to that. Lisa especially given that it seems to be sovereign debt that is able to issue, not necessarily corporate debt when you talk about geopolitics and china and the u. S. , it will be fascinating to see how that is filled with given china is a member of the imf and is trying to create a Global Coalition. What is a Global Coalition look like in a fractured world . Jonathan it is the United States and japan, the United States and korea, the United States and malaysia. Malaysia stepping into the effects market. Japan and south korea turning to do the same. What you saw with yesterday is interesting. A meeting between secretary on, japanese, and south kore
Little bit as we work our way through the middle of the trading week. The bond market, call mark, for the second time in a week calmer for the second time in a week. The 10 year, down four basis points. Lisa has been talking about this for a while. Are we here for the right reasons or the wrong reasons . The most bullish fms since january of 2022, the biggest jump in Global Growth optimism since may of 2020 at a record jump in allocation to commodities. Jonathan the fund manager survey has the headline fully bully. The most overweight commodities going back, a record jump. This is the set up to yesterday and the day before, jay powell coming out and saying its been a little bit disappointing for us, we might have to wait a bit longer in the reason why people are seeing the potential for pullback, we are not fundamentally shaking the confidence. Jonathan the quote for me yesterday did not come from jay powell. It came from the vice chair, philip jefferson. I will share it with you now,
Market is positive by 0. 2 percent on the s p 500. Hours away from chairman powell and the News Conference. Tom it is a different it is changed outlook to the press conference that it was 48 hours boko ago. Jon it is not seven, it is six. It is not seven. The bad news, it is 6 inflation in the u. K. Lisa this is a positive but how much of a positive. The key distinction is the core measure came in much more than expected so stripping out food and energy, how much will we be talking about the difference between core and what you feel when you go to the store . Tom we are there when we are slicing and dicey like David Rosenberg. What you do with inflation and disinflation but the Central Banks torah centralbank story with me jon the highs going into this bad decision, crude we are right their own crude so the headline versus core conversation, how do they navigate that in the News Conference . Lisa at a certain point, oil feeds into that, the question is how much is this driven by demand