June 01 (Wednesday)
Latest Morning Briefing Executive Summary: Braking Energy & Breaking China
The Biden administration’s energy policy is worrying us. The plan it’s pursuing—a.k.a. “the transition”—is to pry Americans off fossil-fuel dependence by forcing up oil and gas prices. Such a crude plan is bound to have unintended consequences that put the overall economy at risk. Notably, the past six pre-pandemic recessions coincided with rapidly rising oil prices. This is one of the reasons that last week we raised our odds of a recession scenario to 40% from 30%. … And: More investors are agreeing with us that China is uninvestible. Amid economic woes, some self-inflicted, China is losing its foreign investors. We take a look at what’s scared them away.
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YRI
Daily Markets Overview
Replay of Dr. Ed’s webinar on May 31.
Markets
Dow drops 200 points, finishes month little changed in turbulent May | C
Global stocks fall, U.S. yields rise as oil prices reach new highs | R
Central banks
Biden vows to give Fed Chair Powell ‘space’ to fight inflation | R
President Biden, Fed Chairman Jerome Powell Meet With Inflation at Its Highest in 40 Years | W
Yellen says she was ‘wrong’ about inflation path, Biden supports Fed actions | R
ECB’s de Cos Sees Natural Rate Around or Slightly Above 1% | B
Energy
Gas Wars Deepen as Russia Curbs Supplies to More European Buyers | B
EU Sets Harshest Russian Sanctions, Targeting Oil and Insurance | W
US
Home prices surged over 20% in March as interest rates also rose, according to S&P Case-Shiller | C
Fed Fears Hit Mortgage Bonds, Attracting Investors | W
25% of Americans are delaying retirement due to inflation, survey finds | C
‘This is not the retirement I envisioned.’ How retirees are getting hit by inflation | NN
Geopolitics & trade
Russia takes most of Sievierodonetsk city in eastern Ukraine | R
Industries & companies
Autos: How a cheap component could help kill off combustion cars | R
Energy: Engine No. 1 opts for accommodation over confrontation with Big Oil and big banks | ImpactAlpha
Beyond markets
Adam Neumann’s blockchain-based redemption story now sponsored by a16z | TechCrunch
Opinion | Omicron Reveals the Need for Better Sick Leave | N
