Car prices account for 9.2% of CPI. A peak in car prices is being heralded by many as a sign that inflation is peaking. While inflation may be heading lower this month, real-time measures of car prices show the market is not slowing to the degree many believe.
Today's topics include financial stability, the yield curve as a recession signal, Williams makes the case for a soft landing, Cathie Wood back to square one, tech valuations, the real funds rate, record gas prices, China's lockdowns, and yesterday's wild ride in cryptoland
The last six weeks have seen a bear steepener with rising interest rates and a steepening yield curve. The market thinks the Fed is behind the curve and doubts the FOMC's ability to rein in inflation. Inconsistent and contradictory Fed talk is inflaming this situation.
With Q1 2022 earnings season underway, we check in on expectations. Revenue and earnings growth expectations have accelerated and company guidance has shifted back to positive.
Today's topics include Kashkari on the Fed's demand destruction, the bond market's losses, Shanghai adds tougher lockdowns, watch refining margins, bank profitability as rates rise, gold as a hedge, retail traders back to square one, stock market bearishness, and factor investing
Interest rates seemed poised for their first higher high in almost 40 years. Should this happen, it would suggest interest rates are in a secular uptrend.
With the Fed's focus on inflation, this morning's payrolls report did little to move the needle for FOMC policy.
Cathie Wood and the ARK ETFs, headlined by ARK Innovation (ARKK), are arguably the most important manager/complex on Wall Street. After their outstanding performance in 2020, these funds significantly underperformed in 2021 and have had an abysmal start to 2022. Wood is sticking to her guns and so are her investors.
Today's topics include problems in markets?, more on Musk and Wood's comments on passive investing, action needed by the ECB, disappointing economic growth, Clarida calls for 3.5% fed funds, mortgage rates surge, Tokyo inflation, BoE warns of coming recession, stablecoin regulation, and crypto jobs.