US CLOSING REPORT
WEDNESDAY – 23RD – AUGUST – 2017
US cash equity markets are nursing minor declines at the closing bell (DJIA -0.4%, S&P -0.4%, NASDAQ -0.3%). Political uncertainty is back in focus after US President Trump said overnight that he is determined to build the border-wall even if the government shuts down. Rating agency Fitch did warn this afternoon that if the debt limit is not raised in a timely manner prior to the so-called “x date”, they would review the US sovereign rating, with potentially negative implications. House speaker Ryan has since sought so ease concerns by stating that Congress will not have to choose between a government shutdown and the border-wall. Treasuries meanwhile remain higher on the day, supported by the Trump remarks and a notable miss for US new home sales earlier today. Comments from Fed Governor Kaplan meanwhile failed to prompt much reaction as he called for the FOMC to be patient and wait for more information. In energy space, US crude futures settled at $48.41 (+$0.58).
* Dallas Fed Governor Kaplan said he is not saying he wants to raise rates again this year, adding he wants to be patient and wait for more information. Kaplan also said high debt levels are an impediment to future growth.
* US House speaker Ryan stated that the Congress does not have to choose between a government shutdown and the border-wall.
* ECB’s Hansson said the Euro gains so far are not a big change. He also said he is opposed to any change to the QE issue or issuer limits.
* US President Trump has called for new unity in a speech to the American Legion. He said now is the time to heal the wounds that have divided us, and to seek a new unity based on the common values that unite us.
* US crude futures settled at $48.41 (+$0.58) | Brent crude futures settled at $52.57 (+$0.70)