By now it’s obvious to most that Trump was at least exaggerating (the charitable term) when he posted that a deal was being hammered out with Iran.
“…VERY GOOD AND PRODUCTIVE CONVERSATIONS REGARDING A COMPLETE AND TOTAL RESOLUTION OF OUR HOSTILITIES IN THE MIDDLE EAST.”
Trump has always had a very tenuous relationship with the truth. As the neurons fray, however, it’s becoming easier and easier to tell, like those spam emails promising millions. In this case, it was the phrase “complete and total resolution.” No president in their right mind would use that phrase until a deal was done. He got what he wanted, though, a substantial drop in oil prices (and rally in stocks) which was the target of a $580 million wager moments before he announced it.
ES took a run at its SMA200, but didn’t come close to holding it and is about 150 points lower at this point.
The dollar continues to strengthen as the fear trade takes hold and rising inflation drives interest rates higher. But it has yet to signal a panic. Time will tell.
Oil and gas are both higher, strong 3-4% bounces off yesterday’s lows, contributing to rising interest rates.
Stay tuned…