dry powder
market vibes
September 10…)
“A witty saying proves nothing.”
PPI today at 8:30 AM EDT. Consensus expectations are for a fairly dovish report with core mom declining from +.9% last month to +.3% and core yoy down from +3.7% last month to +3.5%. Ex food and energy yoy is due lower from 2.9% last to 2.8%. Unless the data is unexpectedly divergent it won’t have any an impact on markets beyond a few milliseconds.
In the news
The latest iteration of E-3 sanctions on Russia could include the entire EU and be the new standard for US sanctions, which are already alienating India and China. These efforts seem to have the opposite effect of inuring eastern alliances and empowering Russia.
From what I read, the UK is in a dangerous financial situation. Macron’s government is in tatters. The AfD is ever more popular. The US is experiencing delays sending more weapons to Ukraine via Germany, and Poland shot down some Russian drones, which is another step toward escalation.
No surprise, Lisa Cook will be permitted to continue in situ for the time being and vote to cut, or not, next Wednesday. In its effort to affirm its independence, the Fed has turned its practical business into a party-line vote, no different than the Supreme Court and every city, state, and federal government. I don’t blame Powell for a DEI hire. Those were the rules at the time and he obeyed them.
In the markets
A quick Pre PPI checkdown of metals, oil, stocks, bitcoin, and an update on CME GBP open interest ripping higher again… plus a few aspirations and laughs in the vibe…
