Tidbits
Stock markets around the world kick-off today with the global macro and market landscape very different from how it looked on Friday morning thanks to a set of U.S. employment figures that not even the most bullish of forecasters expected.
The immediate shift in U.S. interest rate futures markets indicate a 50-basis point rate (one-half percent) cut next month is now completely off the table. The markets signal a quarter-point cut at each of the next two Federal Open Market Committee (FMOC) meetings.
Longer term, the market expects a higher projected "terminal" interest rate in 2026 of around 3.25% instead of 2 to 2.25%, which is a major reason the dollar was sharply higher Friday afternoon.