S&P 500 — US Large Cap Index
FTSE 100 — UK Blue Chips
Euro Stoxx 50 — Eurozone Leaders
DAX 40 — German Equities
CAC 40 — French Market Index
Nikkei 225 — Japan Benchmark
Hang Seng — Hong Kong Index
Shanghai Composite — China Mainland
ASX 200 — Australian Market
TSX Composite — Canada Index
Nifty 50 — India Large Cap
STI Index — Singapore Market
KOSPI — South Korea Index
Bovespa — Brazil Equities
JSE Top 40 — South Africa Index
IPC Index — Mexico Market
The Canadian dollar weakened to 1.39 per USD from a three-month high of 1.376 reached on August 21st, as a more restrictive policy signal from Fed Chair Warsh supported the US dollar. Warsh said the Fed is tracking the PCE index as an inflation gauge, using firmer rhetoric than earlier suggestions that a newly created task force could shift the central bank’s preferred measure. Rate futures shifted toward pricing a potential Fed rate hike next month. Meanwhile, the BoC is widely expected to keep rates unchanged at its September 2nd meeting. A Fed hike alongside a BoC hold would widen the US-Canada rate differential, making US assets more attractive and putting further pressure on the Canadian dollar. Canada’s GDP expanded at its strongest pace in nearly two years, amid a rebound in auto production, providing a buffer against trade risks. However, President Trump’s threat to raise tariffs on Canadian cars, trucks and auto parts to 50% from January 1st, 2027, remained a headwind.
