End of Qtr and another crisis in Russia – What's next? [Video]

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End of Qtr and another crisis in Russia – What's next? [Video]
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It’s the end of quarter week – and there are lots of macro data points to help drive the action.Talk of higher rates sends the dollar up and commodities down.Try the Spaghetti in a Pepper and Pancetta Sauce.

After 36 hours there was an agreement to stop Prigozhin brokered by Belarus President Alex Lukashenko – which will allow Prigozhin to leave Russia and live in exile in Belarus – or will it? Exiled Belarus opposition leader Sviatlana Tskihanouskaya thinks that this relocation poses a NEW threat to Belarus’s independence as well as the safety of its NATO members…. saying that

At 5 am – European markets are all lower after opening in positive territory – markets across the region are down between 0.4% and 0.8%. US futures – which were slightly higher overnight have now turned slightly lower…. Dow futures down 30 pts, the S&P’s down 5, the Nasdaq down 35 and the Russell off by 8. Now – recall, I have been calling for a bit of a pullback anyway – so this is not surprising…. I’m just surprised investors are not a bit more nervous considering the latest news.

It’s a bunch of things, right…It was JJ’s testimony on Capitol Hill – about how he are not done yet raising rates, It’s about how global central banks are not done yet either, it’s about a slowing economy, the elusive recession, stretched valuations, sticky inflation in the US and sticky inflation across the Eurozone all issues that drive valuations.

Then on Thursday we’ll get the final revision to 1Q GDP – expectation of 1.4%, Pending Home Sales of -0.5% m/m – again which I think will surprise you….and Friday brings us the real data point…..The PCE Deflator m/m and y/y and the PCE CORE deflator m/m and y/y.

And since we are talking commodities and the Russian drama – have you seen wheat? It is up 30% since the June low and is up 2.5% today – and that is while the dollar trades higher as well, which debunks the stronger dollar – weaker commodity price argument only because wheat is a FOOD product. Like oil, it is not a discretionary item…We need energy and we need food….those are not debateable.

In another pan – sauté the pancetta and nice and crisp. When done, remove and place in bowl until later. Save the rendering – you’ll use it in a moment.

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