Last week saw global trade take center stage as concerns continued to build around the increasing trade conflict between the U.S. and China. I expect the start of this week will focus on China’s upcoming investment rules and speculation about what will happen before the July 5 effective date of tariffs.
On Friday, the markets will receive some key economic data with the release of the May Personal Consumption Expenditures and the University of Michigan Sentiment Survey. I expect both to show continued strength and optimism for the economy, as well as a small uptick in prices. After Friday’s 5% price increase due to concerns about OPEC’s follow through on production increases, keep a close eye on oil this week.
I expect the markets to end the second quarter relatively quiet, with stocks posting solid gains and bond yields inching higher.
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