Market Sentiment & Catalysts - The market currently exhibits a positive attitude, downplaying concerns like terrorism and focusing on fiscal tailwinds [1] - Negative catalysts are not expected until September, with low expectations for Russia-Ukraine peace talks [10] - A collapse in volatility (VIX at year-to-date lows) is a positive tailwind for markets [6][9][11] Tariff Impact & Business Strategy - Companies are delaying reactions to tariffs due to policy changes, making quick reactions disadvantageous [4] - Businesses have been able to front-run tariffs, providing more room to delay [4][5] - Tariffs are a slow-moving story, with a potential major negative impact not expected until the fourth quarter or even the first quarter of the following year [5] Economic Indicators - The NFIB (National Federation of Independent Business) survey indicates that fiscal tailwinds are dominating tough concerns [1] - An in-line inflation print has removed scary catalysts, contributing to the short-term boom in stocks [6]
Slump in Volatility Measures is Bullish: 3-Minute MLIV
Bloomberg Television·2025-08-13 08:46