The Fed is in command
1. Stocks: all-time high, 2. Home Prices: all-time high, 3. Bitcoin: all-time high, 4. Gold: all-time high, 5. Money Supply: all-time high, 6. National Debt: all-time high, 7. CPI Inflation: 4% per year since Jan 2020, 2x the Fed's "target", 8. Fed: cutting interest rates next week. Source: Charlie Bilello
Elon Musk has lost his title as the world's richest person to Larry Ellison, the co-founder of Oracle and an ally of US President Donald Trump
Ellison's wealth surged to $393bn (£290bn) on Wednesday morning, surpassing Musk's $385bn (£284bn), according to the Bloomberg Billionaires Index. Source : bloomberg
Real estate has held its spot as America’s favorite long-term investment for the 12th year in a row, ahead of stocks, gold, and savings accounts
Source : pacaso, chartr
Data centers are scarce
Source: BofA
On Tuesday night Oracle posted arguably the most remarkable quarter of any tech giant this year, sending the stock up as much as 40% in early trading Wednesday morning
Actually, the quarter itself was unremarkable, it was the forecast for what’s to come that completely blew analysts away. That cloud portion, historically, not a major driver of the company’s bottom line, is where Oracle is seeing growth explode, with the company expecting its “Cloud Infrastructure” revenue to rise to an eye-watering $144 billion in its fiscal year 2030. That’s up more than 14x on last fiscal year’s ~$10 billion haul. Source: Chartr
By FT >>> Donald Trump cannot fire Lisa Cook for now, according to a US judge, in a major win for the Federal Reserve governor fighting the president over efforts to remove her from the central bank
Jia Cobb, the federal judge presiding over the case in Washington, late on Tuesday held that Cook may not be fired while litigation is pending. “Cook has made a strong showing that her purported removal was done in violation of the Federal Reserve Act,” Cobb wrote. A provision of that act allows a president to remove a Fed governor only “for cause”, which according to Cobb would involve failing to fulfil statutory duties. The ruling will allow Cook to attend the Fed’s policy-setting committee meeting next week, when it is widely expected to cut interest rates for the first time this year. It marks a setback for Trump, who last month announced he was sacking Cook for alleged mortgage fraud, amid a campaign to pressure the US central bank into lowering borrowing costs. Source: FT https://lnkd.in/exQeKfwY
So now we have producer deflation?
US wholesale prices unexpectedly declined in August, a welcome development for investors clamoring for a Fed rate cut next week to boost the economy. Here are the details: PPI MoM: -0.1% vs 0.3% exp. PPI YoY: 2.6% vs 3.3% exp. PPI Core MoM: -0.1% vs 0.3% exp. PPI Core YoY: 2.8% vs 3.5% exp. We had producer deflation in August. Let see what the CPI report will look like tomorrow…
As highlighted by StockMarkets.news, the payroll downward revision was actually flagged by Powell weeks ago, sneaking it into a footnote in his Jackson Hole speech:
“Data available to date suggest that the level of non-farm payrolls will be revised down materially.” On Sept 9, that’s exactly what happened: -911,000 jobs erased. ➡️ The question now is was this worse than he expected, and does it warrant a 25 or 50 bps cut? Source: StockMarket.news
