What we’re reading (3/14)
“Commodities Supercycle Looks Like A Stretch” (Wall Street Journal). “Commodity markets are roaring, stirring a debate about whether prices are headed for an extended upswing. The history of booms and busts in raw materials suggests the conditions aren’t right. Prices for Brent crude, the international benchmark in energy markets, have jumped 82% since the end of October. Copper is more expensive than it has been since 2011. Food hasn’t cost as much since 2014, according to a United Nations index.”
“Air Travel Is Picking Up As TSA Records Highest Passenger Screenings In Nearly A Year” (CNBC). “TSA officers screened 1,357,111 people at airports on Friday, marking the highest number of passengers on a single day since March 15, 2020. The milestone reflects that air travel is starting to pick up again after a challenging year for airlines caused by the Covid-19 pandemic.”
“What Used Cars Tell Us About The Risk Of Too Much Inflation Hitting The Economy” (Washington Post). “What’s happened at places like Deal Depot [a dealership in S.C.] and other dealers shows why some top economists and Wall Street investors are concerned that the $1.9 trillion stimulus President Biden signed into law last week could spur a risky cycle of rising prices across the whole economy. Nationwide, used-car prices soared 17 percent nationally in seven months last year — the most of any product.”
“The Simplest Asset To Hedge Against Inflation” (A Wealth Of Common Sense). “It’s counterintuitive to think cash would be a good hedge against inflation since short-duration fixed income is a terrible hedge against inflation over the long-term. This is why long-term assets like stocks and short-term assets like cash can make for a decent inflation-hedged portfolio. Stocks can help protect you against long-term inflation while cash can allow you to use any short-term inflationary spikes to redeploy faster at higher rates.”
“A Lawyer Has Filed More Than 100 Lawsuits Over Vanilla Flavoring In Food And Drinks, Arguing Most Of It Is Fake” (Business Insider). “Over the past two years, New York lawyer Spencer Sheehan has filed more than 100 lawsuits against companies marketing products with imitation vanilla flavoring as simply ‘vanilla.’ Sheehan told Insider he started these cases after noticing a bottle of A&W Root Beer had a label saying ‘made with aged vanilla’ on it. He said he was skeptical about whether it contained authentic vanilla.”
