July CPI should be a positive surprise, with core CPI well below Street consensus of +0.22% MoM. This should reverse the path of higher rates.

Today's note will include a short video update. We discuss the tape bombs that hit stocks Tuesday including China exports and Moody's regional bank downgrade.  But, the main event is July CPI set to be released Thu and we expect this to be similarly soft like the June CPI.  This likely triggers a sustained rally in stocks, as future Fed hikes diminish and this has the potential to push interest rates lower. Duration (5:11).

https://vimeo.com/852836523/a1afa95fb0?share...

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