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The Commodities Feed: US CPI Release

The Commodities Feed: US CPI Release

Oil prices have strengthened in early morning trading due to a larger-than-expected US stock draw. However, the US CPI release today will be key for price direction.Unsplash Energy – OPEC outlook unchangedOil prices came under pressure yesterday. ICE Brent settled almost 1.2% lower on the day. Stronger-than-expected US PPI data raised doubts about how soon the […]
Market Briefing For Wednesday, May 15

Market Briefing For Wednesday, May 15

Less opaque monetary policy – was elucidated by Fed Chairman Powell in an interview, in which he was more candid that usual about ‘how’ data like the PPI (which was above Street estimates) infer higher inflation.  depositphotos He downplayed it unusually, mentioning backward revisions, and dissecting key elements.More important the Chairman stated he didn’t see how that would sidetrack a […]
Will The Fed Lose Control?

Will The Fed Lose Control?

Image source: Wikipedia According to new reports from the Social Security and Medicare trustees, Social Security and a Medicare fund that pays for hospital expenses will both begin running deficits in 2035 and 2036. Disappointingly, but not surprisingly, Congress was too preoccupied with spending billions more on military aid for foreign countries and banning TikTok to […]
Bitcoin Going To $1 Million?

Bitcoin Going To $1 Million?

Image Source: Pexels Natalie Brunell explains how Bitcoin, the top-performing asset of the decade, offers a decentralized, digital safe haven from inflation and how its capturing the trust of the younger generation in reshaping the future of global finance.Join James Connor and Natalie Brunell as they discuss the transformative power of Bitcoin and how it compares to […]
Let’s Hope That Tariffs Are Inflationary

Let’s Hope That Tariffs Are Inflationary

Image Source: Pexels David Henderson has an excellent post on the effect of tariffs on the price level. I agree with his analysis, but here I’ll reframe the debate in a way that I hope will also be helpful. Let’s begin with a few propositions: 1. Under the vast majority of policy regimes, the imposition of tariffs […]
Manufacturing Over The Long Term

Manufacturing Over The Long Term

Reader Bruce Hall wishes for any discussion of the impact of trade policies to include displays of the manufacturing sector’s progress, over the maximally long period. Here, without further ado, is what I could gather quickly.Figure 1: Manufacturing employment (blue), and manufacturing production (tan), both seasonally adjusted, in logs, 1972M01=0. NBER defined peak-to-trough recession dates shaded gray. Source: […]
El Salvador mines nearly 474 Bitcoin using volcanic geothermal power

El Salvador mines nearly 474 Bitcoin using volcanic geothermal power

El Salvador has mined 473.5 Bitcoin (BTC) over the past three years using the geothermal power of the Tecapa volcano, Reuters reported today.Based on Bitcoin’s current price, this amount has translated into a $29 million increase in value. The nation’s total Bitcoin holdings now reach 5,750 BTC, equivalent to nearly $354 million, according to data […]
Top 10 Countries Most In Debt To The IMF

Top 10 Countries Most In Debt To The IMF

Established in 1944, the International Monetary Fund (IMF) supports countries’ economic growth by providing financial aid and guidance on policies to enhance stability, productivity, and job opportunities.Countries seek loans from the IMF to address economic crises, stabilize their currencies, implement structural reforms, and alleviate balance of payments difficulties.In this graphic, we visualize the 10 countries […]
Inflation Trends: Fed’s Rate Cut Threshold For 2023

Inflation Trends: Fed’s Rate Cut Threshold For 2023

Image Source: Pixabay As financial markets oscillate between forecasts and outcomes, the Fed stands at a critical juncture with the possibility of adjusting interest rates twice this year. This potential policy change, scheduled to begin in September, hinges significantly on the inflation trajectory. Current analysis from ISI Evercore projects two likely scenarios. If inflation fails to […]
Regional Banks And The 23-Month Moving Average

Regional Banks And The 23-Month Moving Average

Yesterday I wrote about Alibaba and the 23-month moving average ahead of its earnings report.Now that it did report, to repeat, “The monthly chart is one of my favorites to look at, especially when one draws in the 23- and 80-month moving averages. BABA ran right to the 23-month MA ahead of the earnings report. What […]