Dow, S&P 500, Nasdaq Wobble as cool inflation data increase hopes for reducing the Fed rate

President Trump’s social posts of truth are not moving markets as they did before.

At 8:04 am on Wednesday morning, the president published on his social media platform, “our agreement with China is concluded, subject to the final approval with President XI and I.”

An article like this would have moved the markets a month ago when the actions were swaying on all the updates of Trump. But on Wednesday, the future of the main clues barely moved after the post of Trump.

Instead, the actions have found their management from economic data. At 8:30 a.m. and a cooler than expected reading of consumer prices for May, term contracts increased as investors increased bets that the Federal Reserve could reduce interest rates at least twice this year.

This marked the last sign that the markets went from the trade war of President Trump dictating each market movement. Instead, attention comes back to the federal reserve and the road to the American economy.

“For a certain period, the prices were the only thing that counted,” the Truist co-cio, Keith Lerner, said on Yahoo Finance on Wednesday. “And I think we discover today that many other factors matter.”

And for the moment, economists argue that the economic image could improve.

“Combined with May Jobs’ solid relationship, IPC data reduce the chances of an unpleasant stagflation,” American economist of the American bank, Stephen Juneau, wrote on Wednesday in a note to customers. “This means a lower risk of” bad “reductions (due to a collapse in the labor market) but an increased probability of” good “cuts (solid labor market and slowdown in inflation).”