Good morning and welcome to Markets Desk.
Mohamed El-Erian is sounding an alarm that deserves attention. The Allianz chief economic adviser warns in the Financial Times that the so-called policy put — the longstanding expectation that central banks will ride to the rescue whenever markets stumble — is quietly disappearing. Stocks keep hitting records on AI optimism, but that safety net may no longer be there when they need it.
On the AI front itself, Apollo Global's chief economist Torsten Sløk is pushing back hard on job-loss fears, saying there is zero evidence that artificial intelligence has displaced workers in the labor data. That's a striking claim given that at least a dozen major companies have explicitly cited AI when announcing layoffs this year — a tension the data has not yet resolved.
And turning to a deal that could reshape public markets, SpaceX is reportedly weeks away from an initial public offering targeting a valuation of at least one point seven five trillion dollars. If those numbers hold, it would rank among the largest listings in market history, and early trading patterns in comparable mega-cap debuts suggest significant volatility in the opening sessions.
That's the tape. Markets Desk, signing off the floor.
