What we’re reading (9/11)
“Inflation Sets The Scene For The Fed: What To Know This Week” (Yahoo! Finance). “Tuesday morning will bring investors the closely-watched Consumer Price Index (CPI) for August, which will likely solidify in investors' minds whether the Federal Reserve raises interest rates by 0.50% or 0.75% at its policy meeting later this month. Economists surveyed by Bloomberg expected headline CPI rose 8.1% over the prior year in August, a moderation from from 8.5% increase seen in July. On a month-over-month basis, CPI is expected to show prices fell 0.1% from July to August, primarily due to continued easing in energy prices. If realized, this would mark the first monthly decline since May 2020.”
“Inflation Showed Signs Of Easing In Several Industries In August” (Wall Street Journal). “U.S. consumer-price inflation showed signs of moderating in August for the second straight month, though the decrease was uneven across sectors and it remains unclear whether the slowdown will continue.”
“What If We’re Fighting Inflation All Wrong? (Vox). “what if the prevailing wisdom is wrong, and workers don’t have to suffer? That’s what Nathan Tankus, research director of the Modern Money Network and publisher of the newsletter Notes on the Crises, thinks. Or, at the very least, he believes that leaving inflation up to a single body — the Fed — to try to find a balance between the prices people should pay and the jobs and incomes people should have is off. He also backs the notion of a federal jobs guarantee.”
“Equities Start Month In Deeply Undervalued Territory After Latest Pullback” (Morningstar). “Equities are now trading 15% below our fair value estimate, an even greater discount than the 11% they were at to the end of July. Prices initially rose after better-than-expected news around second-quarter earnings but ended the month in retreat following a hawkish speech on inflation from Federal Reserve Chairman Jerome Powell at the Jackson Hole Economic Symposium.”
“Wall Street’s Favorite Sport Is A Failing Business” (New York Times). “If it [tennis] were a company, activist shareholders would have already descended, calling for a restructuring. In fact, some are — raising the prospect of a turnaround effort or else the risk that a competitor could emerge to steal tennis players the same way LIV Golf has sought to upend the PGA Tour.”
