Warsh’s hawkish tone definitely changes the short-term setup for me. I see the “discipline, not a decision” message as more of a data-dependent stance than dodging the question, but it does mean markets have less visibility heading into September. With rate-hike odds now around 50%, I’m expecting more volatility, especially across high-valuation AI and growth stocks. Nvidia’s pullback despite strong earnings is a good reminder that excellent fundamentals alone may not be enough when expectations and financing concerns are this high.

For Singapore, I’m staying selective rather than chasing the market. Higher-for-longer rates could continue supporting banks while putting pressure on REITs and other yield-sensitive names. Meanwhile, I’m watching China’s improving but still contractionary PMI, Alibaba’s recovery, and the upcoming US jobs report closely. For me, the key question now is whether economic data can justify the Fed’s hawkish stance — if inflation remains sticky and employment stays resilient, the market could face another round of repricing.