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Hegseth The Defense secretary made the announcement at a Pentagon press conference with Sheikh Saoud bin Abdulrahman Al Thani, Qatar’s defense minister.

Oil was having a rough day before Trump threatened China with fresh tariffs. It was bouncing around $60 and the lowest levels since May. But with the rout in markets following the Trump-China spat, we have crude down $2.60 to $58.91. That’s the lowest since May and the second-lowest weekly close in four years.

The combination of OPEC rapidly increasing production and another trade fight is a brutal combination for a market that’s already oversupplied. I earlier highlighted an Goldman Sachs note forecast 2 million barrels per day of excess production from now through 2026. That has to find somewhere to go and it might not until we get lower crude prices from here.

There are macro implications as oil is a big component of inflation everywhere and crude is now down 28% y/y. That’s going to flatter the monthly and y/y CPI numbers for awhile and likely will tee-up 2% headline inflation. I fear that will end up being something of a trap because oil prices will inevitably bounce back.

As for the Fed, the market is now pricing in 109 bps of easing in the year ahead, which is up from 100 bps at the start of the week.

This article was written by Adam Button at investinglive.com.

Oil was having a rough day before Trump threatened China with fresh tariffs. It was bouncing around $60 and the lowest levels since May. But with the rout in markets following the Trump-China spat, we have crude down $2.60 to $58.91. That’s the lowest since May and the second-lowest weekly close in four years.

The combination of OPEC rapidly increasing production and another trade fight is a brutal combination for a market that’s already oversupplied. I earlier highlighted an Goldman Sachs note forecast 2 million barrels per day of excess production from now through 2026. That has to find somewhere to go and it might not until we get lower crude prices from here.

There are macro implications as oil is a big component of inflation everywhere and crude is now down 28% y/y. That’s going to flatter the monthly and y/y CPI numbers for awhile and likely will tee-up 2% headline inflation. I fear that will end up being something of a trap because oil prices will inevitably bounce back.

As for the Fed, the market is now pricing in 109 bps of easing in the year ahead, which is up from 100 bps at the start of the week.

This article was written by Adam Button at investinglive.com.

Alibaba (BABA) stock traded lower for its sixth straight session on Friday as shares of the Chinese mega-cap gave up more than 8% to momentarily trade below $159 for the first time since September 16.

Alibaba (BABA) stock traded lower for its sixth straight session on Friday as shares of the Chinese mega-cap gave up more than 8% to momentarily trade below $159 for the first time since September 16.

Gold price rises during the North American session on Friday amid an escalation of the trade war between the US and China. This, the US government shutdown and expectation for further easing by the Federal Reserve (Fed) keep the yellow metal bid.

Gold price rises during the North American session on Friday amid an escalation of the trade war between the US and China. This, the US government shutdown and expectation for further easing by the Federal Reserve (Fed) keep the yellow metal bid.

The S&P 500 is down 2% at the moment and if it closes that way, it will be the first 2% (or more) loss since April 4. That was the Liberation Day rout and included a 6% closing decline. The worst day since then was August 1, when there was a 1.6% closing decline.

Back in February, we started to have larger market declines as the tariff worries began but it’s been an impressive 30% rally from the April 7 closing low.

There is no doubt this is another TACO trade but it’s a question of where the dip is to be bought. Trump can escalate for awhile but I’m optimistic that it will be resolved sooner rather than later, in part because in Trump’s message he wrote this:

I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so.

That’s not a cancellation and — to me — indicates that there can be a quick resolution and the meeting can go ahead. Of course, that might also depend on what China is offering.

This article was written by Adam Button at investinglive.com.

The Unemployment Rate in Canada remained unchanged at 7.1% in September, Statistics Canada reported on Friday. This reading came in better than the market expectation of 7.2%.