May 15 (Monday)
Latest Morning Briefing Executive Summary: Disintermediation, Disinflation & Dystopia
The Fed sought to allay fears of bank runs when it provided backstop funds to banks. Consider the fears allayed—so far, at least. The disintermediation threat hasn’t descended; it hasn’t wrought a credit crunch, a recession, or widespread economic destruction. Now if fears aren’t stoked by further talk of bank runs, maybe, just maybe, the threat will go away. … Also: The high-inflation saga‘s loose ends all seem to be resolving now in a Hollywood-style happy ending. … And: The latest episode of the debt ceiling drama playing out in Washington is ably narrated by Capital Alpha’s Jim Lucier. … Lastly: Dr. Ed reviews “Beef” (+ + ).
(subscribers’ link)
YRI
Daily Markets Overview
Replay of Dr. Ed’s webinar on May 15.
Markets
How Wall Street is preparing for possible US debt default | R
Central banks
Fed’s Raphael Bostic, Austan Goolsbee Favor Policy Pause to Watch Credit Impact | B
Fed’s Bostic casts doubt on rate cuts this year even if there’s a recession | C
Paul Tudor Jones says the Fed is done raising rates, stocks to finish the year higher from here | C
US
US Households Show Signs of Stress as New Loan Delinquencies Rise | B
Consumer debt passes $17 trillion for the first time despite slide in mortgage demand | C
To understand today’s economy, just look to the banks | The Hill
Joe Biden is more responsible for high inflation than for abundant jobs | E
Debt-Ceiling Talks’ Late Start Amps Up Pressure on Congress | W
The Rent Portion of CPI Is a Reminder of Its Impressive Pointlessness | FO
China
Is Chinese power about to peak? | E
Industries & companies
Autos: Hertz is going electric, with big implications for EV and auto market | C
Banks: Bank Collapses Are Shaking Up the Industry. What’s Ahead as the Dust Settles. | BR
Consumer: America Is Binging on Snacks, and Food Companies Are Eating It Up | W
Media: Elon Musk still needs ‘Twitter sitter,’ judge rules | C
Travel: Summer Travel Forecast: Hot and Pricey | BR
Corporate finance
Microsoft-Activision deal: EU approves takeover of Call of Duty maker | C
J&J’s Kenvue Spinoff: A Rare IPO Winner in a Moribund Market | BR
Elon Musk’s Financial Pickle: SpaceX IPO Could Solve Tesla-Twitter Dance | BR
CEO Pay Packages Fell Sharply in 2022 as the Stock Market Sank | W
Technology
What does a leaked Google memo reveal about the future of AI? | E
Climate
At Chipotle, Papa John’s, the links between bonus pay and ESG grow | C
