Fed

• The TSX and S&P 500 both closed at record highs, with the Canadian benchmark achieving its largest weekly gain in four months. • Market optimism is driven by strong corporate performance, as 85.1% of the 436 S&P 500 companies reporting results so far have exceeded analyst expectations, surpassing the historical average of 68%. • This rally persists despite contradictory economic signals, including weak job numbers and higher inflation, which typically suggest a need for rate hikes rather than cuts.

• US stocks rose to end a winning week, with the Nasdaq jumping 1.3% on the day and 5% for the week, while the S&P 500 gained 0.6% and the Dow rose nearly 0.3%. • The rally followed a surprise July jobs report showing the US economy lost 23,000 jobs, significantly missing Bloomberg economists' expectations of 80,000 new positions. • This unexpected decline in job growth has eased investor fears regarding further Federal Reserve interest rate hikes, as a cooling labor market may prompt a policy shift.

White House continues to target Cook despite decision from justices that upheld Federal Reserve’s independenceDonald Trump is attempting once again to oust US Federal Reserve governor Lisa Cook over allegations of mortgage fraud, despite a recent US supreme court decision that upheld the central bank’s independence.Cook reportedly received a letter from the White House this week that provided notice, in accordance to the supreme court’s June ruling, that Trump is “considering removing” her from her Fed position over the same claims of mortgage fraud that he levied against her last summer. Continue reading...

Judge issues temporary pause while he considers Trump’s request to revise his libel lawsuit against BBCA federal judge has temporarily halted an order requiring Donald Trump to turn over detailed financial information about his business empire to the BBC as part of an ongoing libel lawsuit.US district judge Roy Altman issued the temporary pause while he considers Trump’s request to revise and narrow parts of his lawsuit against the BBC over a 2024 documentary that aired in the UK. Continue reading...

• Banco Santander and Webster Financial Corporation announced on August 4, 2026, that they have received official approval from the Federal Reserve Board of Governors to proceed with the acquisition. • Upon closing, the majority of Webster's business operations will be integrated into Santander Bank, N.A., expanding Santander's banking footprint within the United States. • The deal is designed to accelerate Santander's financial goals, with the company targeting a return on tangible equity (RoTE) of approximately 18% by 2028.

• The UN Security Council met on Wednesday to evaluate the ongoing threat posed by ISIL (Dae’sh) to global peace and security. • Briefings highlighted that ISIL, Al Qaeda, and their affiliates remain "adaptive and resilient" despite international counter-terrorism efforts. • A key concern is the groups' adoption of artificial intelligence and other emerging technologies to enhance recruitment, mobilize resources, and expand their operational reach.

• Banco Santander, S.A. has received official approval from the Board of Governors of the Federal Reserve to acquire Webster Financial Corporation. • The deal aims to strengthen Santander's U.S. franchise, with most of Webster's operations being integrated into Santander Bank, N.A. upon closing. • Santander projects significant financial gains by 2028, including a return on tangible equity (RoTE) of approximately 18% and an earnings per share accretion of 7–8%.