Post #15657

Markets Hold Steady Ahead of Policy Risk U.S. equity futures are modestly lower and largely unfazed by today’s PPI and Retail Sales data, keeping markets in wait-and-see mode. Inflation came in broadly in line, while retail sales beat expectations, reinforcing the view of resilient demand without forcing a shift in Fed policy expectations. Treasury yields remain steady near 4.16%, and rate pricing is unchanged — markets still see a near-certain hold at the January FOMC, with longer-term cuts largely intact. The bigger focus now turns to the U.S. Supreme Court’s upcoming tariff decisions and what comes next. The outcome remains uncertain, and any ruling that goes against the administration could trigger political escalation. Treasury Secretary Scott Bessent has already noted the U.S. has multiple ways to continue collecting tariff-related revenue, keeping policy risk firmly in play. - Alan