Industrial Metals Surge as Data Center Demand Rises
You can't build all those data centers without industrial metals. The Bloomberg Industrial Metals index closed Friday at the highest level since June 2022. Included in this are aluminum, copper, nickel, zinc and lead. https://t.co/SSMF2A8lms
Customers Accelerate Orders to Dodge Price Hikes, Supply Risks
While the AI infrastructure business is certainly robust, something I've been suspecting and mentioned in all the manufacturing PMIs (broadly) is the pull forward of ordering to get ahead of price increases and/or supply chain issues. That goes too for...
Instability Defines Global Economy; Diversify Reserves, Embrace Gold
h/t to my friend @EconguyRosie From Adam Glapinski last week, the governor of the National Bank of Poland: “Recent market developments, driven by the instability in the Middle East, have reinforced our view that instability has become the defining feature of...
Central Banks Maintain Strong Q1 Gold Purchases Despite War
While this captures two months pre war and while gold has likely been a source of funds for some foreign countries post war, central bank buying still strong in Q1. https://t.co/vQDtnkXVdj
Global Bond Yields Hit Multi-Decade Highs, Lifting US Rates
Global bond yields still a story. 10 yr JGB yield at 29 yr high, German 10 yr bund yield at 15 yr high, and 10 yr gilt yield at 16 yr high today. Dragging up US long end yields.
Oil Prices Set to Remain Above Pre‑Conflict Levels
SLB on their call Friday, echoed part of my positive case on oil and gas even after the war ends and the Strait fully reopens. On what they see from here and “how we expect the market to evolve as...
Bank Keeps AI Lending Tight, Exposure Under 1%
One bank’s approach to lending in the tech space. From Fifth Third Bank conference call Friday: “On software and data center lending, we have maintained that same disciplined posture. We believe in the long demand for AI infrastructure, but we have...
CEO Warns Market Underestimates Oil’s Future Price
As we mostly focus on the front month futures contract and we await the finality to the war and a full reopening of the Strait, I will mention the December contract which stands at about $76.50 as of this writing,...
US Oil Rigs Remain Low, Drillers Hold Back
US oil drillers still taking a wait and see before ramping up production. The crude oil rig count as of 4/2, https://t.co/IvRtZBdk40
US Holds $27.5T Net Position, Funding Global Needs
The BEA updated the US net international investment position last week for Q4 '25 and it stood at $27.5 trillion. That's the amount of assets foreigners own in the US vs what the US owns in the rest of the...
Female Drummer Shines, Even without Neil Peart
No Neil Peart but she is great and awesome to see them back on stage.
One‑Third of Gen Z Prefer In‑Store Shopping, Matching Boomers
This was an interesting stat given by Petco in their call last night, “Industry data tells us that 34% of Gen Z customers shop exclusively in stores. Interestingly, this group’s preference for an in-store experience is much higher than Gen...
Demand Drops only After Gas Hits $5 per Gallon
At what price is demand destruction when it comes to gasoline prices? According to Casey's General Store on their earnings call yesterday, “on the volume side of things, with absolute retail prices, we really don’t start to see any level...
Rising Car Prices Spur New‑Used Gap, Boosting Used Market
Interesting commentary from Sonic Automotive on their call and the affordability issues that are still here and possibly about to rise again: “And look, January was a hell of a month. Without the snowstorms, it would have been a magnificent month....