CPI decreased 0.1% month-over-month in March…CPI was up 2.4% year-over-year versus 2.8%in February. What does it mean – We know companies did a bit of stockpiling prior to the tariffs taking effect. We may be seeing the power of “Drill Babby, Drill”. I believe it too early, but it looks like energy is offsetting the costs of the expected tariffs as fuel prices are continuing to fall. Remember these are March numbers and the tariffs are not even included in these numbers released by the Bureau of Labor Statistics. Wholesale prices unexpectedly fall 0.4% in March…Fear of tariffs are real, yet inflation and all the noise has yet to materialize. What does it mean – The PPI report surprised to the downside, while expectation was an increase of 0.20% the actual number came in at -0.39%. The headline figure posted a sharp decline last month vs. expectations that companies preordering goods prior to this administration’s tariff orders would lead to increased inflation prior to the roll out of tariffs. Manufacturing orders continue to grow…New orders for manufactured durable goods increased 0.9% month-over-month in February. What does it mean – Following an upwardly revised 3.3% increase (from 3.1%) in January, durable goods orders were stronger than expected. Egg prices continue down…According to the Axios report, “The average wholesale price of a dozen eggs was $3 Friday, down 8% from $3.27 on March 21, according to U.S. Department of Agriculture data released Friday.” What does it mean – Per the above CPI report non processed food prices are falling. Eggs are an important part of the cost of processed or prepared food as many baked goods and restaurants demand a large volume of eggs to meet their demand. The article went on to say that “It’s (egg prices) down 63% from a record $8.15 in the Feb. 21 report.” Consumer confidence falls…The Conference Board’s Consumer Confidence Index dropped to 92.9 in March from an upwardly revised 100.1 in February. What does it mean – Tariffs are all the rage. Literally. It’s no surprise that consumer confidence is down when the media is pounding the table that the financial world as we know it is over. In fact, according to analysis by News Buster, the mainstream media — namely ABC, CBS, and NBC — devoted 62 times more coverage to the Trump tariffs and market reaction than to the sterling job numbers that beat all expectations. Fortunately, all of us who get up and do things everyday are realizing that the noise is exactly what it is, a mix of misinformation, lack of clarity and constant bombardment of “yellow journalism” at its best, a total disregard for the fact and lack of factual and balanced reporting. U.S. Employers add more Jobs than expected…According to The U.S. Bureau of Labor Statistics this month’s jobs numbers crushed expectations. What does it mean – If you listened to the media this past week you would never have known it. U.S. employers added 228,000 workers to their payrolls in March, while expectations were only set for 140,000 jobs. According to John Carney, “The private sector’s hiring was much stronger than expected. Economists had forecast 115,000 jobs. Businesses added 209,000 jobs.” Brent crude plunged nearly 7%…This is the sharpest drop in two years. What does it mean – After OPEC stunned markets with a supply hike nearly tripling the planned amount. The move sharply reversed recent gains and pushed prices below the $70 threshold, marking a significant shift from the group’s traditionally cautious stance. “Drill Baby Drill.” It is serving its purpose here and abroad. “Hey China” …In South Africa, “Hey China”, is slang for “friend” or “mate”. China’s current behavior may turn a friendly expression in South Africa to a what may become slang for a joke or someone who lacks credibility or integrity, or in China’s case, the complete opposite of friend.
