United States: Next, we have some updates on inflation. Based on economic data, there is plenty of slack in the US economy. As a result, inflation should moderate. However, when production capacity and labor utilization are constrained by supply instead of demand, one should recalibrate the measures of slack.
Wage growth is likely to accelerate.
United Kingdom: Inflation expectations continue to surge.
Emerging Markets: The lira continues to tumble as Erdogan “wags the dog.”
Equities: The market has been punishing earnings misses.
Rates: Treasury market implied vol index (MOVE) continues to diverge from equity implied vol (VIX).
Food for Thought: Global nuclear warhead inventories:
Edited by Daniel Moskovits
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