The main U.S. index closed the week near the highs of recent months, the highest prices since early May. The US market today has rallied for four straight weeks as the S&P500-index closed above its 50- and 100-day averages.

At the end of last week, the July jobs report came out: more than +500K new jobs — almost double the estimate. The unemployment rate of 3.6% is a long-term low. Technically, the U.S. is in a recession — GDP decline in Q1 and Q2, but employment remains strong, although there are reports that the labor market has begun to cool noticeably.

Energy. Oil is up for the week opening, +1%, but oil is below $100; Brent is $95. Oil is under pressure on expectations of slowing demand in China and the U.S.

Europe faces a difficult winter in the economy and a difficult 2023 — said the president of Finland. The reasons are the sharp rise in energy prices and the difficulty in quickly restructuring the energy sector, especially in gas suppliers.

Grain crisis — signs of improvement, several grain carriers left the port of Odessa over the weekend.

U.S.-China trade increased in 7 months, +11.8%, to $452 bln.

The Palestinian-Israeli crisis appears to have been resolved by the beginning of the week — after intense mutual shelling, the sides stopped shelling under an agreement brokered by Egypt. Israel’s Iron Dome missile defense system is doing very well — it has shot down as many as 97% of the missiles the Palestinians have launched at Israel.

Warren Buffett’s Bershire Hathaway posted a very large loss, of $43 billion for Q2, compared to a profit a year earlier. The reason was the stock’s decline in Q2. Nevertheless, the company is in good shape and has significant assets in the money.

Tesla reported the release of its 3 millionth car.

The EU adopted by a majority a plan in case of an emergency gas supply shortfall — limiting gas demand. Hungary and Poland opposed it, but the decision was passed by a qualified majority.

The U.S. market remains up despite expectations of a +0.5% Fed rate hike in September, despite a slowing economy. The US market is buyable — but we have to wait for a strong pullback down to the 50-day average.