Greetings,
The United States: Below is a summary of the regional Fed survey changes in May (GSAI = Goldman Sachs Activity Indicator). The ISM’s national manufacturing index will show a bounce this month (reported June 1st).
The Eurozone: The banking system’s persistent exposure to government debt (linking financial and sovereign risks) worries investors.
South Korea: Rising minimum wage is hurting employment growth:
Equity Markets: The CEO churn at food companies has accelerated amid the consumer staples sector slump.
Credit: Many leveraged firms (so-called “zombie” companies) depend on external funding to service their debt. This is not going to end well when the economy slows.
Global Developments: This chart shows the relative performance of the major currencies since April 16th.
Food for Thought: How will your financial situation change as a result of the recent tax cuts?
Edited by Joseph Cohen
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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.
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