Did John Williams Just Pull a Richard Clarida?

"I think we’ve gotten monetary policy in a very good place..."

Highlights

• “Every recession starts out looking like a soft landing,” this is the quote of the day, and truer words have rarely been spoken 

• The Nasdaq composite extended a losing streak to four sessions and it closed below its critical 50-day moving average — quite a bit of damage has been done of late 

• China is exporting its deflation across the globe — bond investors take note 

• The uptick in U.S. EPS projections leaves me unimpressed considering where both 2023 and 2024 EPS estimates were prior (and were never fully discounted in market pricing to begin with) 

While We Were Sleeping

“Every recession starts out looking like a soft landing.”

Greg Ip, page A2 of today’s WSJ. This is the quote of the day, and truer words have rarely been spoken.

We are finishing the week with some modest improvement in U.S. equity futures but quite a bit of damage has been done of late. The Nasdaq composite lost -0.9% yesterday, extending a losing streak to four sessions; even though it did end sharply off its lows, it closed below its critical 50-day moving average.