President Trump says inflation is “totally neutralized” and that the economy is stabilizing quickly.
That’s a bold statement — and one markets won’t take at face value.
If inflation truly is under control, the next questions are inevitable:
Do rates follow?
Does liquidity loosen?
Do risk premiums compress?
Markets don’t move on words alone.
They wait for confirmation in data, policy, and credit conditions.
But moments like this matter — not because they’re immediately true, but because they frame expectations.
And expectations are where cycles begin to turn.
For now, investors are watching the same things: Prices, yields, employment, and the cost of capital.