Tariffs, inflation, debt risks loom – Markets don't blink [Video]

Markets are brushing off 25–40% tariffs like they’re just minor annoyances. But the US is back to tariff warfare, inflation is knocking, repatriation risks from Japan are rising — and yet, equities barely flinch. The S&P 500 is near ATH levels, the Nikkei rebounds, and the Stoxx 600 marches on. The new negotiation deadline is pushed to August 1st, but somehow that’s good news? Businesses can’t hold prices down forever, and consumers may soon feel the pinch. The Federal Reserve (Fed) is stuck between rising inflation and slowing growth. But sure — let’s keep buying risk. It must be unicorns holding it all together.

But while the party continues as long as the music is on, we dig into tariff risks, earnings risks, potential JGB yield shocks, the Fed’s dilemma and FX moves.