It’s been a relatively calm day in the markets in the aftermath of the horrific terrorist attack in Nice, France. The major indices have turned negative, but not by much, and that isn’t bad considering the recent run.  

More data on the consumer shows sentiment declined, as University of Michigan’s July Consumer Sentiment preliminary read came in at 89.5 versus an expectation of 93. Increased concerns about the future of the economy lead sentiment lower. The Brexit vote had some impact as prior to the vote, it didn’t even register with consumers and this time “record numbers of consumers” mentioned it, especially high income folks.  The decline however was minor and is expected to rebound soon. Personal finances and buying plans were the least impacted, and real consumer spending is still expected to increase by 2.7% in 2016 and 2017. 

On the manufacturing front, business activity flatted for New York manufacturers according to the July Empire State Manufacturing survey. Overall, business were less optimistic about the future. The general business conditions index fell to 0.6.  New orders and shipments were little changed.  There was a small decline in employment as well as hours worked.  Prices paid held at 18.7 as input prices continues to increase and selling prices remained steady.

Looks like the Federal Trade Commission has finally agreed with Carl Icahn that Herbalife (HLF) is not a pyramid scheme. Of course, it will cost the company $200 million in a settlement. Bill Ackman can’t be too happy about that as he continued to pound the table on his short position. HLF is up about 10% on the news.  And Ackman is out spinning a good story. 

Also out, Donald Trump confirms that he has tapped Indiana Governor Mike Pence as his VP running mate. 

The latest data from Baker Hughes shows oil rigs for US drillers was up by 6 to 357 and has increased rigs for 6 out of 7 weeks. WTI is up on the day to $45.92.