I admit to being surprised by the Fed’s 50 bp ease last night. It makes sense though: it will ease economic tensions significantly and support the “good” economy in its current stable growth grove. Naturally Trump supporters will be furious: Jay Powell has confirmed the USA is in a good place.
@Britishairways British Airways is something of a metaphor for Broken Britain. Doesn’t work very well, living off past glory and an uncertain plan for the future.
This week will see the Fed start to ease, but the question is pace? Do they go big and create potential concerns on a hard landing – potentially scaring the horses - or do they hold a steady course, a modest ease to guide markets that rates are normalising. Whatever the Fed does needs coordination with policy on the future path of the economy.
Its neck and neck in the US election. Trump promises to MAGA through tariffs, autocracy, spending and tax cuts. But the core problem behind increasing polarisation is rising inequality – undermining the fundamentals of the American dream and justice.
Last night’s US presidential debate – does it matter who won? The issue remains: what will the respective policies of Trump or Harris mean for the US and the Global Economy. The election remains too close to call.
Mario Draghi saved Europe in 2012. Yesterday he unveiled a new plan long on words and familiar ideas. Europe is aware it is approaching economic crisis – but prescribes the same old solution of Closer Union. It’s time for Europe to so something radical or become irrelevant. Plus – UK win stage 1 of the America’s Cup.
Rates, Inflation, Deficits, the Dollar and the future of everything might just depend on how Tuesday’s televised US Election Debate goes? There will be a winner and a loser. Next week’s Fed Meeting will be more nuanced – but could it ultimately be as important over the long-term?
Alzheimers is becoming the most common cause of death. The costs it imposes, usually on families, but also on society are immense. Preventing it will require investment to research and therapies, but these makes sense in terms of the quantum (all of us!), and reducing the healthcare burden on society. There are investment solutions!
“For Cassius is an honourable man”…. And all that..
The market is under a glamour cast by Nvidia. It’s the most watched headline stock. In a perfect world, its position would mean there would be little to worry about, but US data and all the other market frictions are combining to challenge the market’s narrative – which is a long way of saying… THIS MARKET IS TOPPY.
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