Sintra Has Catalyst Potential This Week: 3-Minutes MLIV
Speakers
Mark Cudmore
— Executive Editor, Bloomberg Live / Macro Strategist
Summary
Mark Cudmore discusses the recent volatility in Korean markets, the rotation into Hong Kong laggards, and the positive tailwind for July equities driven by earnings expectations and AI CapEx. He flags event risk from Sintra and payrolls, and gives a near-term and longer-term view on EUR/USD, expecting more short-term dollar strength before a downtrend later in the year.
- Korean mega spending plan aided KOSPI rebound and lifted overall sentiment
- Month/quarter-end rotation saw outperformance in Hong Kong stocks
- July equities may start positively on easy earnings beats and AI CapEx momentum
- Sintra Fed commentary and nonfarm payrolls are key event risks this week
- Near-term EUR/USD likely biased lower, but conviction is fading
- Longer-term dollar downtrend expected to resume later in the year
Ideas
July equities start positively on earnings
July is likely to start positively for equities because earnings should be pretty good, US macro data has held up, companies guided expectations low for easy beats, and Micron's earnings showed the AI CapEx bubble continues. The main risk is getting through this week's event-heavy calendar, after which the backdrop looks optimistic.
More EUR/USD downside near term
Longer term, later on this year, the dollar downtrend will resume, implying EUR/USD upside, but the market is not ready for that turn yet.
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This Bloomberg Markets video, published June 29, 2026, features Mark Cudmore discussing QQQ, EUR/USD. 2 trade ideas extracted by AI with direction and confidence scoring.
Speakers: Mark Cudmore · Tickers: QQQ, EUR/USD