In Short:
– Monday’s market activity declined due to lack of catalysts, with sellers dominating and equities falling.
– The S&P 500 dropped 0.6%, affected by selling pressure in tech and consumer sectors, while energy stocks rose.

A lack of catalysts led to a decline in market activity on Monday, as buyers withdrew and sellers dominated trading. While cash equity volumes remained steady, selling pressure was evident in stocks like Nvidia, Amazon, Meta, Tesla, and Microsoft. The absence of buyers resulted in equities falling under the weight of these selling flows.Markets reacted to comments from Federal Reserve officials, including Chair Jay Powell and Governor Michelle Bowman, but their remarks provided little new information for interest rates. Bowman expressed concerns about the Fed being behind the curve, citing a fragile labour market. Economic indicators such as the core PCE inflation and jobless claims may influence future Fed decisions.

Market Dynamics

The S&P 500 ended the day down 0.6%, reflecting selling dynamics after a flat trading start. The tech and consumer discretionary sectors lagged, while energy stocks gained. Treasury yields decreased, and a solid 2-year Treasury auction occurred with little impact from PMIs. Currency markets showed mixed results, with notable activity in Australian and Latin American forex pairs. In commodities, platinum rose significantly, raising questions about market trends, while gold faced minor profit-taking.

In Short:
– Trump asserts Ukraine can reclaim all territory lost to Russia, differing from previous suggestions of land surrender.
– His comments signal a shift in foreign policy, raising concerns among Ukraine and NATO allies about potential diplomatic impacts.

President Trump has declared that Ukraine can reclaim all territory lost to Russia, marking a significant departure from prior statements suggesting Ukraine might need to surrender land for peace.

He asserted that Ukraine, with backing from the European Union, is positioned to fight and win to restore its original borders.

Trump commented on Russia’s military and economic struggles, suggesting that their prolonged conflict highlights a lack of real military strength.

His emphasis on Ukraine’s potential victory represents a notable change in his approach to the ongoing war.

Foreign Policy Shift

This statement reflects the ongoing concerns among Ukraine and NATO allies regarding Trump’s stance towards Russian President Vladimir Putin.

Amid uncertainty, allies are apprehensive about how Trump’s evolving position could influence diplomatic relations and efforts to resolve the conflict.