America's Driving Habits as of August 2021
"Travel on all roads and streets changed by +8.3% (+21.0 billion vehicle miles) for August 2021 as compared with August 2020. Travel for the month is estimated to be 273.8 billion vehicle miles." The 12-month moving average was up 0.7% month-over-month and up 4.2% year-over-year. If we factor in population growth, the 12-month MA of the civilian population-adjusted data (age 16-and-over) was up 0.64% month-over-month and up 3.7% year-over-year.
Impending Super Cycle Commodity Signal Argues Against Transitory Inflation
We are in uncharted waters on many fronts, so no one can really answer that inflation/deflation question with any degree of certainty. We can however, look to the technical condition of commodity markets for guidance, since they have usually, acted as a barometer for more generalized swings in inflationary and deflationary pressures. Commodity prices look poised to signal a new secular bull market, which would likely broaden out to result in the highest more generalized inflation rates since the 1970’s.
Our Take on China and India
Investors need to understand the differences between Chinese capitalism and Western capitalism in order to properly assess the opportunities in China. Meanwhile, norms in India more closely resemble those in the United States— but India has dramatically larger headroom for growth.
New Junk-Bond ETFs Are Born of Fed Moral Hazard: Brian Chappatta
In case there was any uncertainty about the moral hazard created by the Federal Reserve’s decision to buy junk-bond exchange-traded funds, a group of former senior leaders at BlackRock Inc., JPMorgan Asset Management and HSBC is leaving no room for doubt.
September Jobs Report: 194K New Jobs, Worse Than Forecast, But Unemployment Rate Down to 4.8%
This morning's employment report for September showed a 194K increase in total nonfarm payrolls, which was below the Investing.com forecast of 500K jobs added.
Self-Help for Companies Unlocks Equity Return Potential
In business as in life, a healthy sense of self-awareness is often the first step to meaningful change. Companies that are conscious of their flaws and eager to address the root problems offer a source of solid return potential for equity investors who identify the turnaround stories early.
Gold Is Now the Second Most Liquid Asset on Earth
Gold’s average daily trading volume for the one-year period was $183 billion, compared to the S&P 500 with nearly $235 billion. That dollar amount is enough to beat currency swaps as well as all government and corporate debt.
Xi’s Changing Plan
A few months ago in Xi’s Big Mistake, I said Beijing risked killing the entrepreneurial activity that had spurred the country’s rapid growth. As we learn more, this is looking less like a mistake and more like a mistakenly-conceived plan.
China and the Turning Point in Global Economic Affairs
If the U.S. and other countries sit idly by, we may look back at today as a turning point in global economic affairs. The U.S. does not have to cede economic growth. But it must readapt capitalistic logic, which, ironically, China is slowly grasping.