August 09 (Wednesday)

Latest Morning Briefing Executive Summary: Mostly About Consumers
Moody’s downgrade of several banks’ credit ratings has some investment implications: It’s bearish for Financials stocks, but only over the short term, as it will hasten M&A activity. It will facilitate the US Treasury’s ability to fund the budget deficit without increasing Treasury bond auction interest rates, supporting our belief that last year’s peak in the 10-year Treasury yield won’t be breached this year. And it drives home the point that credit conditions are tight enough, which should help deter the Fed from further tightening. … Also: A look at consumers’ credit-card usage, rent inflation, and the spending habits of an important demographic—never married singles.
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YRI
Daily Markets Overview
Replay of Dr. Ed’s webinar on August 7.

Markets
Nasdaq, S&P 500 slip ahead of CPI data | R
BofA’s Cabana Sees Yields Lower Over Time as Fed Shifts to Cuts | B
 
US
Mortgage demand drops again after FHA loan interest rate hits 21-year high | C
Energy Stocks, Long a Laggard, Gain Ground on Sturdy US Growth | B
Minneapolis Controls US Inflation With Affordable Housing, Renting | B
Why Fitch’s Downgrade of the U.S. Credit Rating Matters | W
Secret memo details Trump plot to overturn 2020 loss to Biden: Report | C

Europe
Explainer: Why Germany’s property sector is in the dumps | R
Italy’s Meloni defends bank windfall tax raid | R
Italy Treads Fine Line as It Tries to Introduce Windfall Bank Tax | W
 
China
China Slips Into Deflation in Warning Sign for World Economy | W
Chinese Exports Fall at Steepest Pace Since February 2020 | W

Geopolitics & trade
White House to detail plans restricting some US investments in China – source | R
Sputtering Trade Fuels Fears for a Connected World | W

Industries & companies
Financials: Banks’ Problems Aren’t Over, According to the Bond Market | W
Financials: Moody’s bank downgrade in charts: U.S. Bank, Fifth Third, others under review | C
Retail: Target to add Starbucks curbside pickup across the country | C
Tech: CHIPS Act: Semiconductor makers wait for checks one year on | C
Tech: U.S. chip sector talent gap emerges as makers spend billions | C

Climate
Earth Just Had Its Hottest Month Ever. How Six Cities Are Coping. | W

Beyond markets
The Biohacking Devotees Spending Hundreds of Thousands—Even Millions—to Enhance Their Homes | W