JPMorgan Chase CEO Jamie Dimon remains cautiously pessimistic about the future of the economy despite positive indicators such as low unemployment and a strong stock market. Dimon thinks there are "a lot of legitimate concerns that Americans have. For example, ineffective government, they're angry about it. They're angry about immigration. There are people with legitimate issues," he said.

Scott Bessent, President-elect Donald Trump's nominee for Treasury secretary, is planning to divest from funds and investments to avoid conflicts of interest, according to a disclosure to the Office of Government Ethics. Bessent, who has more than $700 million in assets, will resign from Key Square Group and other positions if confirmed.

The upcoming earnings season is being viewed as crucial for reviving the stock market rally that has lost momentum since the presidential election. With the Federal Reserve unlikely to cut interest rates soon, corporate earnings growth becomes a key focus for investors. Analysts expect a 12% profit increase for S&P 500 companies, marking the largest year-over-year gain since late 2021.

Former Federal Reserve Vice Chair Randal Quarles says the central bank's independence will not be threatened under President-elect Donald Trump. "There's a fair bit of misunderstanding about what Fed independence is. Fed independence doesn't mean that the president can't express a view on Fed policy," Quarles said.

Bonds have become a focal point on Wall Street as yields on 10-year and 30-year Treasurys have climbed recently. The upward trend in government bonds is being felt in weaker economies around the globe, but some observers still see bonds as a relative safe haven amid widespread uncertainty.

MMSB Murmurs  The recent bond sell-off highlights growing investor fears over inflation and fiscal policies, but it also presents a potential buying opportunity for those willing to ride out the volatility.

With yields at multi-year highs, bonds could offer attractive long-term returns, especially if economic growth slows and central banks pivot back to rate cuts. -- Matt

FDIC Vice Chair and potential Trump pick to lead the agency, Travis Hill, has outlined his vision for a lighter regulatory approach, focusing on reducing compliance burdens, revisiting Basel III capital rules, and fostering innovation in fintech and digital assets. Hill called for an end to climate-focused financial policies, and advocated for clear, timely guidelines for emerging technologies.

Ian McGinley, enforcement director at the Commodity Futures Trading Commission, will step down January 17, just before President-elect Donald Trump's inauguration. McGinley's tenure, which began in February 2023, included high-profile cases against Binance and FTX.

Outgoing Securities and Exchange Commission Chair Gary Gensler has advised the next administration to maintain investor protections, warning that broadening the definition of accredited investors or reducing disclosure requirements could harm retail traders. "Investors get to decide what risks to take as long as the issuers have been putting out full and fair, truthful disclosures," Gensler said.

MMSB Murmurs: There has been praise from the promised deregulation to come under Trump from many corners of the market, but Gensler now joins the chorus of outgoing regulators warning against taking away investor protections.

While he was often criticized for overreaching, a step in the complete opposite direction from the next head of the SEC may leave investors worse off. - Nic