Demand destruction—the process by which high prices force consumers and businesses to cut spending—unfolds through seven distinct channels on different timescales. … READ MORE >
Economics
Market Minute: U.S. March jobs report preview
We expect the March employment report to show an increase of 60,000 jobs with risk of a modestly stronger print when the Bureau of Labor Statistics releases the data on Friday. … READ MORE >
Market Minute: U.S. financial markets put the world on notice
Our RSM US Financial Conditions Index, which has been decelerating since early February, has turned negative, implying a modest drag on growth. … READ MORE >
Market Minute: Asian economies at risk as oil rationing begins
Rationing will be the baseline method of energy resource allocation across the dynamic Asian economies. … READ MORE >
Market Minute: The right, and wrong, way to ease UK energy prices
The challenge for policymakers is to do it in a way that preserves incentives while protecting the most vulnerable. … READ MORE >
Market Minute: The coming travel slump
As the war in Iran approaches its fifth week, the shock to transportation and travel costs from surging jet fuel prices is coming into view. … READ MORE >
Market Minute: The Treasury market is signaling stress
The threat of increased inflation and increased public debt has sent 2-year bond yields above 4.0% this week, while pushing 10-year yields above 4.4%. … READ MORE >
Market Minute: Why gas tax holidays and export bans don’t work
A gas tax holiday and an export ban on U.S. crude are politically appealing, but in the end they only put upward pressure on prices. … READ MORE >
Market Minute: Credit default swaps and the Gulf region
As the war in the Middle East escalates, it is time to start considering the downside risks and the potential sources of contagion through the financial channel. … READ MORE >
Market Minute: UK gilts more vulnerable than other countries
Gilts have underperformed their U.S. and European counterparts, with short-dated yields in particular seeing some of the largest increases in the G7. … READ MORE >