This week’s Market Update is posted at Alpha Baskets and includes the following;
On Friday the Producer Price Index (PPI) printed at -0.5% which was the fourth monthly decline in a row. This creates a quandary for the Federal Reserve Bank at their meeting this week because it wants to hike interest rates in the next few months. Of course part of the equation is the economy’s presumed ability to stay close to the Fed’s 2% inflation target which it has not been able to do. While lower prices are usually a positive for consumers, the data may be signaling a problem with demand which in turn becomes a problem for growth. This should not be too shocking given the sluggish economic performance in much of the developed world.
Please click through to read the entire update.
This weekend I went to my first NASCAR race, the CampingWorld.com 500 at Phoenix International Raceway. My buddy’s company is very involved in auto racing and we were lucky enough to get some very neat access.