U.S. index futures rise, dollar weakens: investors expect more aggressive rate cuts after leak about possible early Fed chair replacement.
📊 Key Facts
⚫ Bloomberg Dollar Spot Index down 0.4% — lowest since April 2022
⚫ 10-year Treasury yield at 4.27%
⚫ #markets anticipate 64 bps rate cut by year-end (up from 51 bps last week)
⚫ 20% chance of rate cut in July
📉 What’s Driving It
📌 WSJ reports Trump may announce Powell’s successor in September
📌 Could create a “shadow Fed chair” effect — blending politics and monetary policy
📌 “A more compliant chair would increase pressure on the dollar,” — State Street
📊 Markets
⚫ Nasdaq and S&P 500 up: Micron +1.5%, Nvidia +1.1%
⚫ Micron’s strong report — AI chip demand persists
⚫ “Tech is driving the market again,” — Sycomore AM