Following a quiet day with no economic data out, Thursday features the release of the Producer Price Index for the month of July. The PPI release is the first of two key inflation-related releases this week, with the CPI due out on Friday.

In the short-term, we expect investors to focus on rising trade tension again, after the U.S. imposed further tariffs. As we have stated previously, any short-term volatility due to fears over trade wars represents a buying opportunity and not a reason to sell.

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