Show notes:
TMSpotlight:
1.15.24 "Don't Let Me Be Misunderstood" Signs of Misunderstanding
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China, does your deflation hurt now?
Sometimes, rates feel a little glad.
What inflation? Since the US PPI fell, China’s exports increased, and yr/yr Chinese CPI dropped; does that mean China exported deflation? Short-term rates like the 2-year Treasury notes are convinced falling inflation will cause the Fed to ease significantly over during 2024. Mortgage rates are not too concerned about inflation either.
Fundamental signs support declining inflation momentum and weakening growth among the Advanced Economies. As a result, look for rates to drop about 20 bps by the end of January.
Please don’t let signs be misunderstood.
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Song: Don’t Let Me Be Misunderstood (1964)
Santa Esmeralda 1977 (Cover reached the highest rank on the charts)
https://www.youtube.com/watch?v=uvXeeus94GY