Interest Rates, Yield Curve, The Banks, Outies & Conspiracies

<p>There is good news on inflation in store for Americans. The Labor Department is expected to report that overall inflation fell to about 3% in June, the lowest in two years. Excluding volatile food and energy prices, core consumer price inflation is expected to drop to around 5%, an 18-month low, from 5.3%. Economists think core inflation could ebb further in coming months, to between 3.5% and 4%, depending on the price index. The bad news: Getting inflation down further from there, to the Federal Reserve’s 2% target, will prove difficult if the economy keeps chugging along. That could force the Fed to keep monetary policy tight until the labor market weakens.</p><p>In this episode of The Higher Standard, Chris and Saied examine this news and determine the effect it will have on the economy as a whole.</p><p>They discuss a Labor Department report indicating that nonfarm payrolls increased 209,000 in June and the unemployment rate was 3.6%. That compared with the Dow Jones consensus estimates for growth of 240,000 and a jobless level of 3.6%.</p><p>Chris and Saied look at comments from JPMorgan Chase CEO Jamie Dimon, following the winning bid for First Republic, a lender to rich coastal families that had $229 billion in assets, who claimed that "This part of the crisis is over."</p><p>They also offer some thoughts on Fitch analyst Chris Wolfe's assertion that half the country’s banks will likely be swallowed by competitors in the next decade.</p><p>Join Chris and Saied for this fascinating and informative conversation.</p><p>Enjoy!</p><p><strong>What You’ll Learn in this Show:</strong></p><ul><li>Why the printing of trillions of dollars by the Fed in 2020-2022 led to a spike in inflation.</li><li>Why over 40 million Americans will have to restart their student loan payments in the coming months.</li><li>Why the inverted yield curve is such an important topic.&nbsp;</li><li>And so much more...</li></ul><br/><p><br></p><p><strong>Resources:</strong></p><p><a href="https://www.cnbc.com/2023/07/10/us-treasury-yields