U.S. stock futures showed little change after all three major indexes reached record highs on Monday, driven by Nvidia's announcement of a multi-billion dollar investment in OpenAI. Meanwhile, international markets showed mixed performance early Tuesday, gold prices climbed to new record levels, and the U.S. dollar remained steady.
The U.S. Dollar Index (DXY), which measures the value of the dollar against a weighted basket of major foreign currencies, remained steady following a recent rebound from a three-and-a-half-year low.
Federal Reserve Chair Jerome Powell is scheduled to deliver a closely watched speech today at 12:35 PM ET.
Powell is expected to discuss the latest policy adjustments, including the Fed's openness to future rate cuts if labor market risks increase or if economic growth slows further.
He will likely comment on President Trump's trade and tariff policies—especially how tariffs continue to influence inflation and create uncertainties for economic growth.
Based on Powell’s earlier comments highlighting persistent inflation and weakness in the job market, investors have increased their expectations that the Federal Reserve will implement another rate cut in the near future.
The path forward for interest rates is not set in stone, and much will hinge on economic developments in the coming months.
ARGENTINA
Yesterday, we published an article analyzing Argentina's market and our trading approach.
Trading Argentina in 2025: Approaches to Capitalize on a Complex Economy
Argentina’s economic history is deeply intertwined with the Peronist movement, which has shaped the country’s political and economic landscape since the mid-20th century. Juan Domingo Perón’s first presidency (1946-1955) marked a period of expansive state intervention, social welfare expansion, and economic nationalism. Peronism sought to create economic independence, political sovereignty, and social justice—principles that still resonate in Argentinian politics today.
Today, attention is focused on President Javier Milei's visit to New York, where he is expected to receive strong support from the U.S. government, given his alignment as a key U.S. ally in South America. Maintaining a positive relationship with Argentina has grown increasingly important for the United States, especially in light of challenges with the current Brazilian administration. Milei's economic policies are positively received and supported in Washington, D.C. According to U.S. Treasury Secretary Scott Bessent, the U.S. is prepared to provide extensive support to Argentina, including deploying $22 billion in securities managed by the Treasury’s Exchange Stabilization Fund to help stabilize the Argentine economy.