Weekly Macro Minute

Nita B. Rogers authored this issue’s devotional. She served the Lord alongside her late husband, Ben, for more than 20 years.

…I have called you friends… John 15:15 (ESV)

We describe friends in so many different ways. Some say friends are those “who walk in when the rest of the world walks out.” They are “hard to find, harder to leave and impossible to forget.” They are “BFFs” or buddies. We select people as “friends” and follow them on our Facebook pages when we have no idea who they are. Yet, there are special friends who are a treasured part of our lives.

Searching God’s Word about friends, it’s clear they are sent purposefully by God to provide love, understanding and help when daily struggles almost overwhelm us. Proverbs 17:17 (ESV) reminds us: “A friend loves at all times, and a brother is born for a time of adversity.”

God initiated friendship with Adam as they walked and talked together in the garden. Later, Abraham was called the “friend of God.” Romans 4:3 says that Abraham believed (trusted) God. The glue of true friendship is trust. Jonathan and David are great examples of such trust. They were said to be “one in spirit.” Jonathan was committed to doing what was best for his friend, protecting him and staying true. A trustworthy friend seeks the very best for another.

Growing up as an only child, I was blessed to have neighborhood friends. We played school, hopscotch, jacks and paper dolls for hours. We jumped rope, rode bicycles and ate ice cream together. They taught me to have fun and reminded me they were available when I needed them. Children need friends!

Later in life, I had school friends, boyfriends, church friends and friends who shared interests. I found out each one had abilities, personalities and opinions of their own. These friends challenged, encouraged and influenced me. Teenagers need friends!

Friends have come into my life as mentors, supporters and sounding boards for my growth. They have instructed, challenged and warned me at times when I needed to stay on track and in the will of God. As I face the last years of my life, the loneliness of aging motivates me to be a friend who can encourage and love those who need a friend. We need friends all our lives!

Jesus called his disciples “friends,” not just servants. The Lord of the universe has chosen us as his friends to share his life and work. Our part in this amazing relationship is to trust him and lovingly care for others. Proverbs 18:24 points us to a “friend who sticks closer than a brother.” The Lord Jesus Christ is such a friend!

“What a Friend We Have in Jesus!”

How can you be a friend to someone today? How can you draw closer to Jesus, the friend who never leaves?

Major indexes finish mixed as breadth weakens

• U.S. equities finished mixed, with mega-cap technology stocks supporting headline indexes while broader participation weakened.
• The S&P 500^® gained 0.5%, while the Russell 2000^® declined 1.5%.
• Small caps and broader market participation lagged despite gains in the largest technology names.

Software stocks lead the market

• Software was the strongest-performing area of the market as concerns about AI disruption eased.
• Strong earnings results helped fuel a broad software rally and renewed investor confidence in the sector.

Fed comments reshape rate expectations

• Federal Reserve Chairman Kevin Warsh’s Jackson Hole remarks significantly increased expectations for additional policy tightening.
• Short-term Treasury yields moved higher while long-term yields declined.
• Markets now expect a high probability of at least one additional rate increase by year-end.

Energy and metals retreat

• Crude oil declined roughly 5% as developments involving the Strait of Hormuz improved supply expectations.
• Gold moved lower after Warsh’s comments strengthened the dollar and shifted interest-rate expectations.

European markets mixed

• European equities posted mixed results as stronger sentiment data offset ongoing political and fiscal concerns.
• Germany outperformed while France lagged during the week.

Japanese equities recover

• Japanese stocks moved higher as lower energy prices and strength in global technology shares supported sentiment.
• Inflation data continued to strengthen the case for potential Bank of Japan tightening.

Chinese markets remain uneven

• Chinese equities delivered mixed performance.
• Investor attention focused on large-scale AI infrastructure spending and questions surrounding future returns on those investments.

Warsh reinforces inflation fight

• Chairman Warsh reiterated the Fed’s commitment to its 2% inflation target.
• He emphasized that inflation remains above acceptable levels and suggested policy may need to remain restrictive until price stability is firmly restored.
• The speech reinforced a more hawkish market outlook.

Inflation remains above target

• Headline PCE increased 0.2% for the month and 3.7% annually.
• Core (ex. food and energy) PCE rose 0.2% in July and 3.3% year over year.
• Services inflation remained the primary driver of elevated prices.

Consumer confidence weakens

• Consumer sentiment declined in August as concerns about inflation and the economy increased.
• Personal spending rose modestly, though most of the increase came from services categories rather than goods purchases.
• Real spending was largely unchanged.