Friday's Recap
Fed's Kashkari delivered a speech emphasizing monetary policy's role in lowering inflation, cautioning that further rate cuts could take time as officials assess economic data.
Markets closed mixed, with equities edging lower as energy and materials sectors advanced while consumer staples and discretionary declined; S&P 500 closed at 6858.47 and Nasdaq at 23235.63, reflecting calm conditions with VIX at 15.18.
Bond yields rose modestly, with 10-year Treasury at 4.17% and 2-year at 3.47%, as the dollar firmed against EUR/USD at 1.1681 and USD/JPY at 156.62.
Commodities saw WTI oil at 57.42, gold at 4413.41, and Bitcoin at 92925.88, with subdued volatility across assets.
The Day Ahead
ISM Manufacturing PMI at 10am, expected at 48.3 versus previous 48.2, may reveal contractionary trends in production amid AI productivity gains.
Fed's Barkin speech at 8am could highlight data dependence, potentially tilting toward fewer cuts if labor stabilizes.
API Weekly Crude Oil Stocks at 4:30pm, with prior draw of 1.7 million barrels, may influence energy prices and broader inflation expectations. (cont...)
