• Another crazy week underneath the surface

• Greenland made the headlines, but Japanese rates were the story

• Forced, quantitative selling does not last long

• Inflation is still cooling

• Other economic data is positive

• Quick Hits

• Where did all the crypto money go?

• Chart Crime of the week

• This guy’s wages might no longer be garnish-eed

You would never guess it was a crazy week by looking at the minor index moves.  But assets were zipping around with macro and geopolitics taking center stage.  Most of the headlines focused on Trump and his Greenland theater.  He added the requisite topping of tariff threats.  The media, again, called it a “sell America” moment.  Of course, it was just more Art of the Deal bluster. Greenland, sanctions on countries dealing with Iran, Gaza, Ukraine, Arctic Mexico…none of it really matters to global markets (other than securing critical minerals or natural resources, of course).  It is also worth noting that Treasury Secretary Bessent was basically saying to ignore the Trump headlines.  We should listen to him.

Another source of the market volatility was the Japanese bond market.  We have talked about the battle between the new Prime Minister’s fiscal plan (lower taxes and higher spending) against the Bank of Japan’s (BOJ) monetary plan (higher rates and relinquishing yield curve control).  Things came to a head when PM Takaichi proposed suspending the food sales tax.