[LATAM CLOSE]: We Will Always Remember

The LatAm new issue market had no trades and no deal announcements today. Although LatAm has seen brisk deal flow starting from last Tuesday, today the market had a “goose egg” session while traders and investors digested the most recent CPI print in the U.S., which pointed to an ongoing disinflationary process. CPI last month was 0.2% m/m vs. 0.2% f/c, while the y/y print was 2.5% vs. 2.5% f/c. The ex-food and energy print is 0.3% m/m vs. 0.2% f/c, while the y/y print is 3.2% vs. 3.2% f/c.

Although market participants were confident in the Fed enacting a 50bp rate cut in one week’s time, today’s CPI print dampened those expectations – although should the U.S. CB opt for a smaller-scale rate cut, there will be subsequent FOMC meetings in the fourth quarter, with the Fed having the option to enact more aggressive rate cuts before January should economic conditions warrant.

The DJIA closed +124.75 at 40,861.71 in what was the latest installment in a back-and-forth pattern of advances and retreats by the DJIA since September started. The S&P closed +57.25 at 5,561.25. The yield on the 10yr U.S. Treasury closed lower at 3.63%, while the yield on the 30yr U.S. Treasury dropped 3bp to close at 3.94%. The yield on the 2yr U.S. Treasury closed 3bp higher at 3.62%.

September volume stands at $9.675bln, while 2024 volume is $88.95bln.

On a different and more personal note, America today solemnly remembers the tragic events of September 11, 2001. This column writer's commute to Wall Street ensured he would be a nearly firsthand witness to what unfolded. From seeing confused and stunned commuters on Wall Street looking up while a thick, charcoal curtain of smoke flowed violently from behind the office buildings, with many sheets of paper slowly floating down, to reaching his building where many employees, as well as security staff, demonstrated shock and fear, to finally realizing that something utterly atypical was taking place when this writer entered the conference room and saw the buildings on live television, it is simply not possible to forget. Those events affected thousands upon thousands of people in New York, in Washington, D.C., and in Pennsylvania, traumatized an entire nation, and took away thousands from their loved ones.

Downtown Manhattan has changed, many no longer live or work in either New York City or in Washington, D.C., and indeed, 23 years are a very long time. But again, forgetting is not possible, and perhaps today we who cover financial markets and whose daily routines so occupy us will be soberly reminded to hug our parents, spouses, siblings, children, and friends, so that they will hear from us that we love them, and so that one day we won't look back with regrets. And perhaps, during a time when so much has happened to disrupt the lives of so many, the memories of that day will also bring memories of the solidarity that followed, and the things that today work so powerfully to divide people will give way to a renewed sense of unity, that we all share a common humanity – a humanity which was assaulted on that day, but which can never be taken away from us.

Indeed, let us never forget September 11, 2001, and let us never forget that we are strong enough to overcome today as we were strong enough to overcome then.

LATAM PIPELINE

There are no mandates at this time.

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