The Morning Call--Biden's Plan is inflatioinary

 

The Morning Call

 

8/17/21

 

The Market

         

    Technical

 

            Monday in the charts.

            https://www.zerohedge.com/markets/traders-buy-end-empires-dip-stocks-bonds-bullion-bid

 

            Macro rolling over but everybody’s long.

            https://www.zerohedge.com/the-market-ear/cwev2exmj

 

            China dumped US Treasuries for fourth month in a row.

            https://www.zerohedge.com/markets/china-dumped-us-treasuries-4th-straight-month-most-2016

           

    Fundamental

 

       Headlines

 

              The Economy

 

                        US

 

July retail sales fell 1.1% versus forecasts of -0.3%; ex autos, they were  down 0.4% versus +0.1%.

 

                        International

 

Q2 UK productivity declined 0.5% versus +0.4% in Q1; June unemployment was 4.7% versus consensus of 4.8%; average earnings were +8.8% versus +8.6%.

 

Q2 EU GDP grew 2.0%, in line.

 

                        Other

 

            The Fed

 

              More on declining liquidity.

             https://alephblog.com/2021/08/13/is-liquidity-evaporating-what-a-gas-man/

 

              The surging wealth gap and the slowing economy.

              https://www.advisorperspectives.com/commentaries/2021/08/16/the-data-shows-the-fed-is-behind-the-surging-wealth-gap

 

            Fiscal Policy

 

              Biden’s plan is inflationary.

              http://scottgrannis.blogspot.com/2021/08/biden-is-making-wrong-call.html

 

              Part 2:

              https://www.zerohedge.com/political/dont-fall-joe-bidens-big-lie-inflation

 

              But there is hope.

              https://www.zerohedge.com/political/moderate-dems-tell-pelosi-pound-sand-threaten-hold-35t-budget-plan-hostage-unless

 

            The coronavirus

 

              Companies are hoarding cash amid fears of delta variant.

              https://www.wsj.com/articles/companies-are-hoarding-record-cash-amid-delta-fears-11629106380

 

            Afghanistan

 

              The government lied to the American people from the beginning.

              https://www.zerohedge.com/geopolitical/us-government-lied-two-decades-about-afghanistan

 

     Bottom line

 

            Why investors can’t ignore bitcoin.

            https://blog.evergreengavekal.com/why-investors-cannot-ignore-bitcoin-any-more/

 

            The dollar must go crypto.

            https://www.bloomberg.com/opinion/articles/2021-08-15/niall-ferguson-nixon-the-gold-standard-and-a-bitcoin-bonanza?srnd=opinion&sref=loFkkPMQ

 

            Diversification is the protection against ignorance.

            https://mrzepczynski.blogspot.com/2021/08/diversification-as-ignorance-protection.html

 

    News on Stocks in Our Portfolios

 

Genuine Parts (NYSE:GPC) declares $0.815/share quarterly dividend, in line with previous.

 

Home Depot (NYSE:HD): Q2 GAAP EPS of $4.53 beats by $0.11.

Revenue of $41.12B (+8.1% Y/Y) beats by $380M.

 

What I am reading today

 

            Quote of the day.

            https://cafehayek.com/2021/08/quotation-of-the-day-3619.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+CafeHayek+%28Cafe+Hayek%29

 

 

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