Yesterday, after some overnight volatility following the initial “You’re Fired” headlines US equity markets held around unchanged for most of the session before rallying into the close. It was a reasonably quiet evening of news with most of the press focused on whether Taylor will make Travis sign a prenup and Fed independence. Former World Bank President David Malpass has been floated as a candidate to potentially fill vacancies at the Fed. US futures were trading slightly higher for much of the morning but have turned slightly lower as yields moved up during NY Fed President Williams interview on CNBC. There is no major US economic data on the calendar today though there is a 2yr FRN auction at 11:00 and a 5yr auction at 1:00. Williams’ comments didn’t really break any new ground suggesting that policy is modestly restrictive and will need to be adjusted “at some point”. However, he didn’t sound overly concerned about the state of the economy and is still keeping a close eye on inflation. Fed Waller is scheduled to speak tomorrow. Treasury yields are moving a touch higher with a continued steepening of the curve. There was a round of tech earnings after the close that has been reasonably well received primarily in software which has bene under pressure recently. This in an appetizer to the tech earnings after today’s close which includes HP, NetApp, Snowflake, CrowdStrike and the big kahuna Nvidia. The consumer facing earnings this morning are being met with a more mixed response. It was a mixed overnight session in global market. China indices were under pressure for the second consecutive day giving back some of the recent outperformance. Other Asian indices were modestly higher. Major indices in Europe are also mixed with France’s CAC 40 bouncing back modestly after some the recent political turmoil.

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