North America Several members of the FOMC committee spoke this week with some showing support for cuts of 50 bps while other others supported no cuts. On Thursday the Wall Street Journal new Fed whisperer Nick Timiraos wrote that “officials are gearing up to reduce interest rates at their next policy meeting in two weeks, most likely by a quarter-percentage point, as the trade war between the U.S. and China darkens the global economic outlook.”This week had a record level of bond issuance of at least 29.65B. Apple, Deere, and Walt Disney among others issued debt to capture low rates.Argentina government imposed capital control to prevent a further reduction of foreign currency reserves. In the decree released on Sunday the

North America In the U.S.: Bloomberg reported that the Treasury Borrowing Advisory Committee (TBAC) is again likely to counsel Treasury Secretary Mnuchin against issuing ultra-long bonds as they would not be sustainable over the long-term. Although Mr. Mnuchin is not bound by the TBAC’s recommendation, he shelved a similar plan in 2017 following TBAC’s analysis. REIT Focus: Piedmont Office Realty Trust (PDM) announced that it has completed the purchase of Galleria 400 and Galleria 600, two office towers totaling approximately 860,000 square feet and an adjacent 10.2 acre land parcel entitled for one million square feet of additional development for a total of $231.2M. The acquisition is located within The Galleria, is a master-planned, mixed-use development in northwest Atlanta. ASIA

North America In the U.S.: August Flash Manufacturing PMI fell 0.5 bps to contraction territory for first time in a decade at 49.9 versus July’s 50.4 reading. A weak auto sector and global economic headwinds were cited as the main drivers to the disappointing reading. REIT Focus: Sun Communities, Inc. (SUI) entered into an agreement to acquire a 31-community manufactured housing portfolio for $343.6M through a merger of Jensen’s, Inc. into a subsidiary of the company. The communities are located in 8 states with 35% of the sites in Connecticut. ASIA In China: Beijing announced on Friday that it would levy retaliatory tariffs on 5-10% on another $75B worth of US goods, including oil, effective 1-Sep. The move was not

North America In the U.S.: On Wednesday, the 10yr and 2yr Treasury Bonds inverted sending the markets tumbling to the worst single day of 2019 on recession fears. However the markets bounced back towards the end of the week as recession fears may have been overblown. President Trump backed off of the September 1 tariff hike in order to soften the trade war impact on US holiday sales. The move was seen as a backpedal from previous rhetoric and somewhat of an admittance that the impact of the trade war would be felt by US consumers.In earnings, 457 companies in the S&P 500 Index have reported, 76.4% beat, 0.7% were in-line, and 22.9% missed estimates. REIT Focus: Bloomberg reported that

North America In the U.S.: Headline July PPI was 0.2% versus June’s 0.1% reading. The continued weak inflation readings will raise the pressure on the Fed for additional rate cuts.In earnings, 447 companies in the S&P 500 Index have reported, 76.7% beat, 0.7% were in-line, and 22.6% missed estimates. REIT Focus: JBG Smith Properties (JBGS) announced the sale of 1600 K Street building in Washington DC for $43M. As of June 30, 2019, the 82K sq. ft. building was 92% leased to several tenants. In REIT earnings, 105 companies in the Wilshire U.S. REIT Index have reported, 65 beat, 2 were in-line, and 38 missed estimates. ASIA In China: July PPI fell 0.3% y/y versus June’s flat reading. The decrease,