Good Morning. The DX is slightly higher. Bonds are little changed as are US Stocks. Gold is slightly softer as is Silver. Energies are also offered down some. Only Copper is firmer so far. With the exception of Dogecoin, most Crypto is lower also.
Markets are in narrow ranges this morning so far. Some things are emerging and on the horizon, possibly subduing enthusiasm. The Covid spread in China is now affecting the economy. Several central banks have indicated reversals towards tighter rate policy were coming. President Joe Biden’s $4.1 trillion economic agenda faces a difficult path through Congress. The final passage coincides with a debt ceiling debate almost certainly.
Yesterday: The moderation of used car prices in yesterday’s CPI lent support to some arguments about the temporary nature of the elevated price pressures. The CPI has yet to pick up the sharp rise in house prices, and rents and owner equivalent rents remain modest. President Biden weighed in and urged OPEC+ to make more oil available.
Many observers noted that President Biden’s remarks offered a stark contrast to his greener thrust about weaning America off carbon fuels earlier in the week. Some made their opinions known.