The U.S. government officially entered a shutdown as White House and House Republicans failed to agree on additional spending items. Yet equity markets shrugged off the news and rallied yesterday on stronger-than-expected housing data, JOLTS, and durable goods sales. The consumer confidence index remains weak, but spending data shows households still healthy. Today’s ADP nonfarm employment print will be critical for gauging the labor market’s response to September’s first rate cut.
- Shutdown Begins: U.S. enters government shutdown; markets surprisingly resilient.
- Labor Market Focus: ADP data today key for gauging first-rate-cut impact.
- AI Infrastructure: Meta’s $14B CoreWeave deal highlights ongoing capex boom.
- Dollar Strength: Political uncertainty boosting USD despite falling yields.
- Safe-Haven Flows: Gold and silver maintain bid on risk aversion.
- Crypto Supply Squeeze: ETH exchange balances at 2016 lows signal potential for future spikes.