Image Source:   Overview: The dollar is trading heavily against the G10 currencies and most of the currencies from emerging markets. The market expects softer US CPI (and retail sales) today. Any decline in the year-over-year core rate would put it at its lowest level since April 2021. Still, this has been anticipated, and the market seems vulnerable to “sell the rumor, buy the fact” type of activity. After all, the Fed will see another employment and CPI report before the June 12 meeting. Moreover, comments by Fed officials have encouraged the market to push out the first cut to September (~85%) and about an 80% chance of a second cut before the end of the year. Of course, the dollar would likely rally on an unexpected increase in CPI too.US interest rates are softer today. The two- and 10-year Treasury yields have eased in three of the four sessions before today. Near 4.42%, the US 10-year yield is at its lowest level since April 10, the day that March CPI was reported. European benchmark 10-year yields are 5-7 bp lower today. That leaves peripheral benchmark yields lower over the past three months, while German and French yields are up a dozen basis points. Equities are mostly firmer today. China, Hong Kong, and India are the main exceptions from the Asia Pacific region. Europe’s Stoxx 600 is extending its advance for the ninth consecutive session, while US index futures are little changed. Softer yields and a weaker dollar have lifted gold to […]

Image Source:   We can summarize the changes in our economy over the past two generations with one word: precarity, as life for the bottom 90% of American households has become far more precarious over the past 40 years, despite the rising GDP and “wealth” as measured in phantom capital.This reality is expressed in the portmanteau word precariat, combining proletariat (someone whose livelihood comes from their labor) and precarious: outside of government employment, work has become far more precarious. Where it was still common 40 years ago to work for a company for much or most of one’s career and have a private-sector pension, now private-sector pensions have vanished, replaced by self-managed 401K funds, and private-sector work is characterized by a series of not just job changes but career changes.The source of one’s livelihood can dry up and blow away almost overnight, and to fill the hole many turn to gig-work with zero benefits that saddles the worker with self-employment taxes (15.3% of all earnings, as the “self-employed” gig worker must pay both the employee and the employer shares of Social Security-Medicare payroll taxes).This isn’t true self-employment, of course, as true self-employment means the owner-worker can hope to extract the full value of their labor; in contrast, much of the value of the gig work is skimmed off by corporate platforms (Uber et al.). The gig worker is a precariat wage-slave, not a self-employed owner of their own labor and enterprise.Forty years ago, households with healthcare insurance being driven into bankruptcy by medical bills was unknown. Now […]

The Japanese yen fell again, surpassing 156 yen to the dollar, hitting its lowest level in two weeks, raising concerns about the possibility of Japanese authorities intervening again to support the currency. In this regard, Japanese Finance Minister Shunichi Suzuki said that the government is coordinating with the Bank of Japan to ensure consistent policy goals when it comes to foreign exchange. He added that they are taking all possible measures to closely monitor yen movements. (Click on image to enlarge)Earlier this month, the Japanese yen rose sharply after falling to 160 yen to the US dollar due to suspected government interference, with Bank of Japan data indicating that it spent nearly $60 billion to defend the currency. However, the yen has now given back about two-thirds of those gains as the huge interest rate differential between Japan and other major economies spurs investors to borrow yen and invest in higher-yielding currencies.According to forex trading platforms, the  continued its remarkable rebound ahead of the release of key US inflation figures and Japanese GDP figures. It has risen for three consecutive days and is hovering near its highest level since May 1st.In general, the US dollar/Japanese yen exchange rate will be in the spotlight this week as investors focus on the upcoming US inflation data scheduled for release on Wednesday. Economists polled by Reuters believe US inflation remained stubbornly high in April as the costs of energy, housing, insurance, and medical care rose. Moreover, the median estimate is that headline CPI slowed to 3.4% in April […]

ASX: Northern Star Resources Ltd. – NST Elliott Elliott Wave Technical Analysis TradingLounge (1D Chart)Greetings, Our Elliott Wave analysis today updates the Australian Stock Exchange (ASX) with Northern Star Resources Ltd. – NST. We identify the NST completing wave ii-blue before the third wave of the larger Degrees returns to push much higher.ASX: Northern Star Resources Ltd. – NST Elliott Wave Technical Analysis  ASX: Northern Star Resources Ltd. – NST 1D Chart (Semilog Scale) AnalysisFunction: Major trend (Intermediate degree, blue) Mode: Motive Structure: Impulse Position: Wave ii-blue of Wave (iii)-purple of Wave ((iii))-green of Wave 3-red of Wave (3)-blue Details: The short-term outlook indicates that the (iii)-purple wave is unfolding to push higher. Current price action shows that wave i,ii-blue is unfolding. Invalidation point: 13.40ASX: Northern Star Resources Ltd. – NST Elliott Wave Technical Analysis TradingLounge (4-Hour Chart)ASX: Northern Star Resources Ltd. – NST Elliott Wave Technical AnalysisASX: Northern Star Resources Ltd. – NST 4-Hour Chart AnalysisFunction: Major trend (Minuette degree, purple) Mode: Motive Structure: Impulse Position: Wave ((c))-red of Wave ii-blue of Wave (iii)-purple. Details: The shorter-term outlook shows that wave ii-blue is unfolding as an ABC-red correction, with wave ((b))-red appearing as a Triangle. Wave ((c))-red is unfolding to push lower. A rise above 14.92 will renew the view that wave ii-blue has ended and wave iii-blue will open to push higher. Invalidation point: 13.40 Conclusion:  Our analysis, forecast of contextual trends, and short-term outlook for ASX: Northern Star Resources Ltd. – NST aim to provide readers with insights into the current market trends and how to capitalize on them effectively. We offer specific price points that act as validation or invalidation signals for our […]

Dimon highlighted the risks associated with borrowing to stimulate growth. He suggested that the current fiscal policies could be contributing to higher inflation rates. He also voiced confidence in the UK’s ability to maintain positive relations with the EU post-Brexit.    CEO  emphasized the urgency for the  to reduce its fiscal trade deficit, warning that failure to address the issue promptly could lead to more severe problems in the future.In an interview with Sky News on Wednesday, Dimon cautioned that delaying action could result in a situation that becomes “far more uncomfortable” and difficult to resolve. Dimon’s warns of inflationDimon highlighted the risks associated with borrowing to stimulate growth, noting that while any country can drive short-term economic expansion through borrowing, it does not necessarily translate to sustainable growth. Dimon said,   “America should be quite aware that we have got to focus on our fiscal deficit issues a little bit more, and that is important for the world.” He suggested that the current fiscal policies could be contributing to higher inflation rates, though he downplayed the likelihood of an immediate crisis. Dimon positive on the UK EconomyShifting focus to the , Dimon expressed optimism about the country’s economic prospects regardless of the outcome of the next general election.He also voiced confidence in the UK’s ability to maintain positive relations with the European Union post-Brexit.“The UK economy will do well whoever wins the next general election,” Dimon said, underscoring his belief in the country’s resilience and capacity for strong international relations.