logical abductions
market vibes
in the news
CPI came in a tick warmer than expected: MOM .4 est vs .2 last… headline 3.8 vs 3.3 last… 3.8 is almost 4 which is double the FOMC’s 2% target. Warsh was approved by the Senate last night.
Global bond markets are reeling led by the UK. Investors have lost any hope of fiscal restraint. As many as 70 MPs have called for Starmer’s head.
If Alberta were to become an independent nation, its citizens would be among the richest people in the world on a per capita basis, ranking with Qatar and Singapore.
Only 22% of stocks in the S&P 500 have outperformed the index over the last 30 days, the 3rd-lowest reading since 1996 … and the Buffett indicator made a new high again yesterday…. more on that in the vibe.
In the markets
June WTI is creeping higher on light volume and flat open interest. No change in the situation in the Strait. The US operation to clear the waterway of mines has been paused for a few days pending further negotiations…. However, 17 ships went through in the last 24 hours with about 4 mm barrels (515,000 DWT) of total cargo being oil (5% of the pre-crisis average).
Ships are going through. IRGC fast boats are harassing them and the US navy is skirmishing, sinking them with impunity. UAE armed forces have been carrying out direct military attacks on Iranian territory for several days.
Gasoline is creeping up on rising OI and light volume although still about 15% lower than the 2022 highs. Heating oil (#2 distillate proxy) is still about 30% lower than 2022 highs. Refinery margins are on new highs again this morning.
Trump announced on Monday that he plans to temporarily suspend the federal gasoline tax which would immediately lower pump prices by 18.4 cents per gallon of gasoline and 24.4 cents per gallon of diesel.
Metals and stocks straight ahead.
