Bassanese Bites: CPI week – July 24 2023
Global markets
The effective ‘melt-up’ in US stocks continued last week, with the S&P 500 adding another 0.7%. Although earnings misses by Netflix and Tesla briefly weighed on markets, the overriding narrative remains that of growing hopes of a soft landing given resilient economic growth, easing inflation, and hints the Fed could be nearing the end of its rate hike cycle.
Indeed, although US retail sales for June were below expectations, this was offset by an upward revision to the May numbers. Weekly US jobless claims also continue to hold at very low levels.
