The Daily Shot Brief – August 23rd, 2017

Greetings,   The United States: The FOMC officials have become less concerned about upside risks to inflation and growth as the fiscal stimulus legislation gets delayed.   Credit: Most Federal Home Loan Banks have seen capitalization improvements over the past year.   Equity Markets: Inflows into the largest international equity ETFs have slowed.   It’s increasingly difficult …

The Daily Shot Brief – August 21st, 2017

Greetings,   The United States: As discussed previously, the recent dollar weakness will result in higher import prices. In particular, prices of industrial supplies and materials are expected to rise. On the other hand, the dollar’s weakness should help boost US exports.   Bitcoin: Bitcoin’s global trading volume has been climbing rapidly. It’s now comparable …

The Daily Shot Brief – August 17th, 2017

Greetings,   The United States: The markets saw the concerns about this persistently low inflation by some FOMC members as a dovish sign. Treasury yields and the dollar slumped.   Credit: More investors see corporate debt as overvalued.   Equity Markets: High-frequency trading revenues continue to shrink as market volatility collapses.   Emerging Markets: South …

The Daily Shot Brief – August 10th, 2017

Greetings,   The United States: Unit labor costs in the US came in below consensus, suggesting that inflation should remain benign. The chart below shows the quarterly changes in labor costs (4-quarter moving average) trending lower. While slower growing unit labor costs should make the US workforce more competitive internationally, it’s hard to compete with …

The Daily Shot Brief – August 8th, 2017

Greetings,   The United States: As car manufacturers pull the discounts, auto sales slip. Department stores have experienced severe deflationary pressures, which haven’t been as much of a problem for non-store retailers.   Credit: This chart shows commercial property delinquency rates by sector in CMBS portfolios. Anchored retail (such as strip malls) now have the highest failure …