The Moening Call---Trump closes trade deal with Japan

 

The Morning Call

 

7/23/25

 

The Market

         

    Technical

 

            Tuesday in the charts.

            https://www.zerohedge.com/market-recaps/momo-massacred-meme-stocks-melt-bonds-bullion-bitcoin-surge

 

                Tuesday in the technical stats.

            https://www.barchart.com/stocks/momentum

            https://www.barchart.com/stocks/sectors/rankings

 

            JP Morgan traders spot unusual pattern.

            https://www.zerohedge.com/markets/jpmorgan-traders-spot-unusual-pattern-fear-rising-market-complacency-record-crowding

           

            The technical setup for gold.

            https://talkmarkets.com/content/commodities/gold-prices-eye-breakout-as-us-eu-trade-tensions-and-fed-uncertainty-mount?post=510690

 

            The capitalization of Nvidia versus the entire defensive sector.

            https://x.com/Todd_Sohn/status/1947703258710950280

 

            The meme craze rekindled.

            https://www.zerohedge.com/markets/its-meme-craze-2021-all-over-again-here-are-most-shorted-stocks-could-soar

 

    Fundamental

 

       Headlines

 

              The Economy

 

                        US

 

Weekly mortgage applications were up 0.8% while purchase applications were up 3.0%.

 

Month to date retail chain store sales grew slightly slower than in the prior week.

 

The July Richmond Fed manufacturing index came in at -20 versus forecasts of -3.

https://www.advisorperspectives.com/dshort/updates/2025/07/22/richmond-fed-manufacturing-activity-deteriorated-july-2025

 

                        International

 

                        Other

 

                          Trusting our economic statistics (or not).

                          https://econbrowser.com/archives/2025/07/how-much-longer-can-we-trust-our-economic-statistics

 

                          Inside retail sales.

                          https://wolfstreet.com/2025/07/21/where-americans-spend-their-trillions-a-year-on-goods-and-how-that-changed-over-time/

 

                          Update on the RecessionAlert weekly leading economic index.

                          https://www.advisorperspectives.com/dshort/updates/2025/07/21/recession-weekly-leading-economic-index

 

                          Shipping data shows consumers still consuming.

                          https://bonddad.blogspot.com/2025/07/updating-transport-and-consumer.html

 

            Overnight News

 

US President Trump announced that they completed a massive deal with Japan, which he said is perhaps the largest deal ever made with Japan to invest USD 550bln into the US and will open their country to trade including cars and trucks, rice and certain other agricultural products, and other things. Trump added that Japan will pay reciprocal tariffs to the US of 15% and is forming a JV with the US in Alaska and they are going to make a deal on LNG.

              https://www.zerohedge.com/markets/japanese-auto-stocks-soar-trump-trade-deal

 

US President Trump said Europe is coming to Washington for trade talks on Wednesday.

 

US President Trump will meet UK PM Starmer during his weekend trip and they will seek to formalize a trade deal.

 

            Monetary Policy

 

              Powell is a lame duck.

              https://alhambrapartners.com/weekly-market-pulse-the-lamest-of-ducks/?src=news

 

              Bessent calls for fundamental reset of financial regulations.

              https://www.zerohedge.com/political/bessent-calls-fundamental-reset-financial-regulations

 

              Trump is playing with fire.

              https://www.aei.org/economics/trump-is-playing-with-federal-reserve-fire/

 

            Inflation

 

              Amazon raises prices on hundreds of essentials.

              https://mishtalk.com/economics/amazon-increases-prices-on-hundreds-of-essentials-after-saying-it-wouldnt/

 

           

 

     Investing

 

            The Nvidia of crypto.

            https://www.riskhedge.com/outplacement/the-nvidia-of-crypto/rcm?utm_campaign=RH-144&utm_content=RH144OP791&utm_medium=ED&utm_source=rcm

 

            The latest from John Hussman.

            https://www.advisorperspectives.com/commentaries/2025/07/22/impression-of-invincibility

 

            Have the bond vigilantes dismissed the inflation/tariff risks?

            https://www.capitalspectator.com/have-the-bond-vigilantes-dismissed-tariff-inflation-risk/#more-24336

 

    News on Stocks in Our Portfolios

 

Genuine Parts Non-GAAP EPS of $2.10 beats by $0.04, revenue of $6.2B beats by $90M

Canadian National Railway GAAP EPS of C$1.87, revenue of C$4.27B

 

Canadian National Railway (NYSE:CNI) declares CAD 0.8875/share quarterly dividend.

 

General Dynamics GAAP EPS of $3.74 beats by $0.21, revenue of $13B beats by $630M

 

McDonald's (NYSE:MCD) declares $1.77/share quarterly dividend, in line with previous.

 

What I am reading today

 

            Wednesday morning humor.

            Hunter Biden Warns That Without Illegal Immigrants, The Price Of Prostitutes And Crack Will Skyrocket | Babylon Bee

 

 

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