The Morning Call---Inflation is a live and well

 

The Morning Call

 

6/8/21

 

The Market

         

    Technical

 

            Monday in the charts.

            https://www.zerohedge.com/markets/biotechs-burst-higher-bonds-bitcoin-buck-breakdown

 

            Transports, traps and trouble ahead.

            https://www.zerohedge.com/markets/trannies-traps-trouble-ahead

 

            Last week in review.

            https://realinvestmentadvice.com/market-hits-all-time-highs-as-money-flows-peak-06-04-21/?utm_medium=email&utm_campaign=Real%20Investment%20Report%20Market%20Hits%20All-Time%20Highs%20As%20Money%20Flows%20Peak&utm_content=Real%20Investment%20Report%20Market%20Hits%20All-Time%20Highs%20As%20Money%20Flows%20Peak+CID_c99fa0415d6ed3a2b0055139e75bb193&utm_source=RIA%20Email%20Marketing%20Software&utm_term=READ%20MORE

 

 

    Fundamental

 

       Headlines

 

              The Economy

 

                        US

 

Month to date retail chain store sales grew slightly faster than in the prior week.

 

April consumer credit rose $18.6 billion versus consensus of +$22.0 billion.

                          https://www.zerohedge.com/markets/consumer-credit-hits-new-record-despite-unexpected-decline-credit-card-usage

 

The April trade balance was -$68.9 billion versus predictions of -$69.0 billion.

 

The May small business optimism index came in at 99.6 versus estimates of 99.8.

 

 

                        International

 

April Japanese YoY cash earnings rose 1.6% versus +0.6% in March; final Q1 GDP growth was +1.8% versus +1.2%, capital expenditures -1.2%, in line, private consumption -1.5% versus +2.2% in March, the GDP price index -0.1% versus +0.2% in March.

 

April German industrial production was reported at -1.0% versus forecasts of +0.5%; June economic sentiment was 79.8 versus 86.0.

 

Q1 EU final GDP growth was -0.3% versus projections of -0.6%; employment was -0.3% versus -0.6%; June economic sentiment was 81.3 versus 84.5.

 

                        Other

 

                          Be careful with those YoY comparisons.

                          https://thereformedbroker.com/2021/06/07/base-effects/

 

                          Update on big four economic indicators.

                          https://www.advisorperspectives.com/dshort/updates/2021/06/07/the-big-four-economic-indicators-may-employment

                   

                          Update on seven high frequency indictors.

                          https://www.calculatedriskblog.com/2021/06/seven-high-frequency-indicators-for.html

 

                          Fast and furious recovery.  How long will it last?

                          http://blog.yardeni.com/2021/06/fast-furious-business-cycle.html

 

            Biden’s Plan

 

              G 7 agrees on minimum corporate global tax.

                          https://www.nakedcapitalism.com/2021/06/g7-countries-reach-deal-on-15-global-minimum-tax-rate-for-multinational-corporations.html

 

              Senate poised to pass huge industrial policy bill.

              https://www.nytimes.com/2021/06/07/us/politics/senate-china-semiconductors.html

 

            Inflation

 

              The economist who once said inflation is dead, now thinks that it is alive.

https://www.bloomberg.com/news/articles/2021-06-07/inflation-outlook-economist-roger-bootle-sees-consumer-prices-surge-after-covid?srnd=premium&sref=loFkkPMQ

 

              More on the subject from Larry Fink.

              https://www.zerohedge.com/economics/yellen-wrong-economist-who-wrote-book-no-flation-sounds-alarm-over-policymaker

 

            The coronavirus

 

              Lockdowns were the wrong policy.

              https://www.spiked-online.com/2021/06/04/why-i-spoke-out-against-lockdowns/

 

     Bottom line.

 

            More on valuations.

            https://www.advisorperspectives.com/dshort/updates/2021/06/04/market-cap-to-gdp-may-buffett-valuation-indicator

 

            How much have stocks priced in?

            https://www.zerohedge.com/markets/have-stocks-already-priced-economic-boom

 

    News on Stocks in Our Portfolios

 

 

 

What I am reading today

 

            Quote of the day.

            https://cafehayek.com/2021/06/quotation-of-the-day-3548.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+CafeHayek+%28Cafe+Hayek%29

 

            Save but make sure that you live life.

            https://allaboutyourbenjamins.com/financial-planning/build-the-addition/

 

Visit Investing for Survival’s website (http://investingforsurvival.com/home) to learn more about our Investment Strategy, Prices Disciplines and Subscriber Service.