The United States: The Atlanta Fed wage tracker shows no evidence of US wages accelerating. Given the tight labor markets, this is not the outcome most economists have been expecting.
Credit: As China spooked the bond markets on Wednesday, investors pulled a massive amount of capital from the largest HY ETF (HYG).
China: As discussed previously, China’s broad credit is decelerating, which will be a drag on economic growth.
Bitcoin: The SEC is very uneasy with cryptocurrency ETFs.
Equity Markets: Investor bullishness is at extreme levels.
Canada: The homeownership rate among young people is significantly higher in Canada than in the US.
Emerging Markets: Fund inflows had boosted EM currencies and domestic bond prices in 2017. The correlation between the two is impressive.
Food for Thought: Prime-age population with tertiary education (college, trade school) by country.
Have a great weekend! The next Brief will be out this coming Tuesday, January 16th.
Edited by Joseph N Cohen
To receive the Daily Shot Premium, you need to be a subscriber to The Wall Street Journal. The Daily Shot readers qualify for a special membership offer of $1 for 2 months and can join simply by clicking here.
If you are already a WSJ member, you can sign up for The Daily Shot at our Email Center by clicking here.
The Daily Shot Premium is also available online at DailyShotWSJ.com
If you have any issues at all, please contact a Customer Service representative by calling 1-800-JOURNAL (1-800-568-7625) or sending an email to email@example.com.
Thanks to Josh Marte (@joshdigga), Matt Garrett (@MattGarrett3), Joseph Cohen (@josephncohen), Ycharts.com, S&P Global, and Moody’s Investors Service for helping with the research for the Daily Shot.
We would also like to thank the Federal Reserve Bank of St. Louis for the incredible job they have done providing data and graphics to the public. Here is the credit and legal notice related to all FRED charts: FRED® Graphs ©Federal Reserve Bank of St. Louis. All rights reserved. All FRED® Graphs appear courtesy of Federal Reserve Bank of St. Louis. http://research.stlouisfed.org/fred2/
Contact the Daily Shot Editor: Editor@DailyShotLetter.com