Overview

• US producer prices in July rose 0.9%, above consensus, cutting the odds of an aggressive Federal Reserve rate cut in September.
• Alberto Musalem, president of the St. Louis Fed, said a half-point rate cut next month would not be justified by current economic conditions.
• Spain’s Ibex 35 extended its nine-day winning streak to close at 15,206.4 and opened the next session above 15,300 points, its highest since 2007.
• Wall Street closed mixed, with the Dow slightly down, the S&P 500 edging up and the Nasdaq nearly flat as US futures signalled continued caution.
• Argentine ADRs plunged up to 9% and local bonds fell after a debt rollover renewed only about 61% of maturities, driving the country risk premium above 700 basis points.