Dominion’s historic defamation case against Fox News will go to trial, judge rules, in major decision dismantling key Fox defenses

Dominion’s historic defamation case against Fox News will go to trial, judge rules, in major decision dismantling key Fox defenses


New York
CNN
 — 

Dominion Voting Systems’ historic defamation circumstance versus Fox News will progress to a superior-stakes jury trial in mid-April, a Delaware choose dominated Friday, in a important determination that dismantled many of the correct-wing network’s critical defenses.

The judge’s decision is a agonizing setback for Fox News and sets the stage for an agonizing, weekslong trial, the place the network’s maximum-rating executives and most popular hosts could be named to the stand to testify about the 2020 election lies that were promoted on its air.

The two sides experienced questioned Delaware Superior Court docket Choose Eric Davis for a pretrial ruling in their favor, declaring them the winner. Just after thousands of pages of filings and exhibits, and a series of courtroom clashes, Davis made the decision the case really should go to trial. But one particular issue jurors will not need to weigh, he concluded, was irrespective of whether Fox’s claims about Dominion were being genuine or false.

“The proof created in this civil proceeding demonstrates that is CRYSTAL very clear that none of the Statements relating to Dominion about the 2020 election are true,” Davis wrote.

Unless of course there is an out-of-court docket settlement — which is normally achievable — Davis’ ruling implies jurors will want to choose no matter whether Fox Information defamed Dominion by consistently advertising false statements that the voting technologies enterprise rigged the 2020 presidential election by flipping millions of votes from Donald Trump to Joe Biden. Dominion wishes $1.6 billion in damages.

Jury choice is scheduled to commence on April 13 in Wilmington, Delaware.

Fox Information and its guardian organization, Fox Corporation, deny all wrongdoing. They’ve argued that their conspiracy theory-crammed broadcasts soon after the 2020 election have been secured by the 1st Modification, because their on-air reporters had been basically reporting on “newsworthy allegations.”

“This scenario is and often has been about the To start with Amendment protections of the media’s complete proper to go over the information,” a Fox spokesperson mentioned in a assertion immediately after the ruling. “Fox will keep on to fiercely advocate for the legal rights of free of charge speech and a free of charge push as we go into the up coming section of these proceedings.”

In his 130-website page ruling, Davis dismantled numerous of Fox News’ likely demo defenses, working a important blow to the community. On the entire, these results from Davis just take away quite a few crucial arguments that Fox could’ve introduced to the jury, building it more challenging for them to prevail at demo.

Davis ruled that Fox Information just cannot invoke the “neutral report privilege,” which guards journalists who neutrally pass along newsworthy allegations in an unbiased manner. Dominion experienced argued that Fox News hosts fundamentally took a aspect while covering the fallout of the 2020 election, by throwing their excess weight at the rear of the bogus strategy that the benefits were being illegitimate, and Dominion was to blame.

“The evidence does not assistance that (Fox Information) conducted superior-religion, disinterested reporting,” Davis wrote. “(Fox News’) failure to reveal substantial contradicting evidence from the public sphere and Dominion itself suggests that its reporting was not disinterested.”

The judge also blocked Fox News from working with the “fair report privilege” with the jury. That lawful doctrine protects journalists who report on what is getting reported at formal proceedings, like congressional hearings, or on allegations getting levied in courtroom filings, like in a civil lawsuit.

Davis pointed out that the timeline of Fox’s on-air statements did not sync up with the lawsuits, many filed by pro-Trump lawyers like Sidney Powell, that sought to overturn the 2020 election.

“Most of the contested statements have been manufactured ahead of any lawsuit had been filed in court docket,” Davis wrote, incorporating that out of the practically 20 broadcasts on Fox’s networks that Dominion statements ruined their popularity, “only a single broadcast at issue even stated Ms. Powell’s lawsuit.”

The judge gave Dominion a strengthen by pinpointing that the on-air statements at the coronary heart of the litigation ended up both factual assertions or “mixed feeling,” which could possibly make it more difficult for Fox to protect itself in front of the jury. Fox had requested Davis to rule that the statements were being “pure opinion,” and hence couldn’t be defamatory below the To start with Amendment.

“The context supports the place that the statements had been not pure opinion when they had been built by newscasters keeping them selves out to be resources of precise facts,” Davis wrote.

Davis also wrote in his ruling that even if the statements ended up opinion, Fox News would not be safeguarded below the Constitution, supplied that they appeared to “charge Dominion with the serious crime of election fraud.”

“Accusations of criminal activity, even in the variety of opinion, are not constitutionally guarded,” Davis wrote

The voting technologies business cheered these pieces of Davis’ ruling in a assertion on Friday.

“We are gratified by the Court’s comprehensive ruling soundly rejecting all of Fox’s arguments and defenses, and obtaining as a issue of legislation that their statements about Dominion are untrue. We look ahead to going to demo,” a Dominion spokesperson reported in a assertion.

Fox’s authorized legal responsibility will be made the decision at trial. But the situation has already battered Fox’s reputation.

Incriminating texts and e-mails have shown how Fox executives, hosts and producers didn’t feel the statements the community was peddling about Dominion. These revelations drove a dagger by the concept that Fox Information is something but a partisan GOP operation concentrated on scores — not journalism.

The lawsuit is found as one of the most consequential defamation conditions in current memory. Fox has argued that a reduction will eviscerate press freedoms, and a lot of students concur that the bar really should stay large to demonstrate defamation. Other analysts have stated keeping Fox accountable for knowingly airing lies will not pose a menace to aim journalists who would in no way do that in the to start with put.

The case has elicited a mountain of evidence exposing Fox News as a right-wing revenue machine missing the most standard journalistic ethics — and inclined to boost unhinged election conspiracy theories to protect its worthwhile small business.

Fox Corporation chairman Rupert Murdoch conceded in his sworn deposition that various of his top hosts endorsed election lies on the air that he understood were being untrue. And immediately after the 2020 election, its most well known stars and best executives privately trashed the conspiracy theories that had been remaining spread on-air, according to internal textual content messages and email messages unveiled in courtroom filings.

The lawful filings showed how concerned Fox News executives and hosts were of getting rid of viewership to Newsmax, a scaled-down suitable-wing discuss channel that was saturating its airwaves with election denialism. And in numerous scenarios, Fox Information executives and hosts started to crack down on all those at the community who simple fact-checked election lies, personal messages uncovered in courtroom filings confirmed.

Despite what appeared on air, Fox News executives and hosts privately criticized the Trump camp for pushing statements of election fraud. Hannity reported Rudy Giuliani, Trump’s then-attorney, was “acting like an crazy person” and Ingraham explained him as “an idiot.” Rupert Murdoch reported it was “really bad” that Giuliani was advising Trump.

MAJOR LEAGUE SOCCER AND RBC WEALTH MANAGEMENT ANNOUNCE MULTI-YEAR PARTNERSHIP

MAJOR LEAGUE SOCCER AND RBC WEALTH MANAGEMENT ANNOUNCE MULTI-YEAR PARTNERSHIP

NEW YORK, Feb. 21, 2023 /PRNewswire/ — Major League Soccer (MLS) and RBC Wealth Administration now announced a new multi-12 months partnership in the U.S. The partnership delivers RBC Prosperity Management an array of alternatives to interact with the League’s multigenerational and multicultural supporter base, when boosting the profile of soccer and tapping in to the momentum behind MLS and the sport in the operate-up to the Planet Cup in North The united states in 2026.

By means of the partnership, RBC Prosperity Administration will have a presence at MLS Player Engagement functions and give a selection of workshops and educational prospects for gamers. Additionally, RBC Wealth Management’s MLS partnership will include model integration throughout platforms, such as streaming, digital, in-stadium and on-website activation at marquee MLS occasions.

RBC Prosperity Management and MLS will work with each other to build alternatives to improve the recreation and strengthen our constructive impact in the communities wherever we reside and do the job. MLS Works – the League’s social responsibility platform – and RBC Prosperity Administration are partnering to convey the U.S. Soccer Foundation’s Soccer for Accomplishment just after-college plan to approximately 500 children every year. Soccer for Achievement is led by mentor-mentors who are trained to aid children’s particular progress further than athletics. Impartial scientific studies have revealed that the application increases wellbeing results and potential customers to enhanced social and emotional perfectly-staying.

“Key League Soccer is happy to announce this important new partnership with RBC Wealth Management,” reported Gary Stevenson, MLS Deputy Commissioner, and President and Managing Director of MLS Business enterprise Ventures. “We seem ahead to helping RBC Prosperity Management improve its business enterprise across the U.S. and we are excited about the engagement options they’ll have with our gamers and soccer neighborhood all through this explosive time of growth for the League.”

“With soccer’s level of popularity rising among youthful sporting activities admirers, we’re excited to deliver the RBC Wealth Management model to the subsequent generation of investors,” stated Michael Armstrong, CEO of RBC Wealth Administration – U.S. “It really is time for everybody to see what our clients and colleagues currently know. Our organization is devoted to assisting clients prosper and communities prosper.”

“RBC Wealth Administration has branches across the U.S., like each and every industry with a Main League Soccer group,” additional Tom Sagissor, President, RBC Prosperity Management – U.S. “This partnership gives us an interesting prospect to amplify our brand and join with the most varied lover foundation in the U.S.” 

The announcement of the partnership in between MLS and RBC Wealth Management comes all through a period of large momentum driving the activity of soccer in North The usa, as Major League Soccer enters its 28th season this thirty day period and the enjoyment carries on to create on the path to the 2026 Globe Cup hosted by the U.S., Canada and Mexico.

ABOUT Important LEAGUE SOCCER  

Headquartered in New York City, Key League Soccer — celebrating its 28th season in 2023 — options 29 clubs all through the United States and Canada, together with 2023 expansion staff St. Louis City SC. Commencing on February 1, 2023, all MLS, Leagues Cup, and pick MLS Following Pro and MLS Next matches can be watched through MLS Season Pass, available on the Apple Television set application on Apple units, good TVs, streaming gadgets, set-major bins, and activity consoles, and the internet at television set.apple.com. MLS Period Pass will function the most expansive and obtainable lineup of programming ever for MLS fans. For much more information about MLS, visit mlssoccer.com. For a lot more facts about the Apple Tv set application, visit apple.com/apple-television-app

ABOUT RBC Wealth Management:

In the United States, RBC Wealth Management operates as a division of RBC Cash Markets, LLC. Founded in 1909, RBC Wealth Administration is a member of the New York Inventory Exchange, the Financial Sector Regulatory Authority, the Securities Trader Protection Company, and other key securities exchanges. RBC Prosperity Administration has $489 billion in total client property with additional than 2,100 economic advisors functioning in 186 destinations in 42 states.

Contacts:
Big League Soccer
Angela Alfano
[email protected] 

RBC Prosperity Management
Megan Boldt
[email protected] 

Resource Significant League Soccer

UK announces major overhaul of its financial sector in attempt to spur growth

UK announces major overhaul of its financial sector in attempt to spur growth

A single Canada Square, at the heart of Canary Wharf economic district viewed standing involving the Citibank setting up and HSBC building on 14th Oct 2022 in London, United Kingdom.

Mike Kemp | In Pics | Getty Images

The U.K. government on Friday announced in depth reforms to monetary regulation that it claims will overhaul EU rules that “choke off growth.”

The offer of 30 measures contains a leisure of the rule that necessitates banking companies to different their retail functions from their expenditure arms. This measure — first released in the wake of the 2008 Economical Disaster — would not utilize to retail-centered banking companies.

The authorities also verified it will review rules all over the accountability of leading finance executives — an additional publish-2008 regulation. The Senior Administrators Routine, released in 2016, signifies people at controlled corporations can facial area penalties for inadequate conduct, workplace culture or selection-earning.

Modifications declared in the package deal, dubbed the Edinburgh Reforms, also include things like a overview of guidelines on small-selling, how providers listing on the inventory exchange, insurers’ balance sheets and True Estate Financial commitment Trusts.

Finance Minister Jeremy Hunt stated he desired to ensure the U.K.’s status as “one particular of the most open, dynamic and competitive monetary products and services hubs in the earth.”

“The Edinburgh Reforms seize on our Brexit freedoms to supply an agile and dwelling-grown regulatory regime that will work in the fascination of British men and women and our organizations,” he stated in a statement.

“And we will go more – delivering reform of burdensome EU rules that choke off progress in other industries these kinds of as digital technology and everyday living sciences.”

The govt is billing the reforms as a way to capitalize on freedoms made available by Brexit, stating that hundreds of webpages of EU laws governing monetary providers will be replaced or scrapped.

A lot of argue that Britain leaving the EU has broken the country’s monetary competitiveness, with Reuters reporting that London lost billions of euros in day by day inventory and derivatives trading to EU exchanges adhering to its departure from the bloc. Researchers at the London College of Economics explained earlier this yr that economic expert services will be among the the sectors worst hit by Brexit.

Looking for to strengthen the U.K.’s sluggish financial progress has also turn into a priority for the govt, with the country forecast to be on the brink of a long economic downturn.

The formerly-declared elimination of the U.K. cap on bankers’ bonuses was a person of the several guidelines introduced by Hunt’s predecessor, Kwasi Kwarteng, that remained after his chaotic “mini funds.”

Kwarteng had promised a “Significant Bang 2,” referring to the deregulation of the London Stock Exchange in the 1980s, which attracted a host of world-wide financial institutions and expense corporations to the U.K. and swiftly elevated the measurement of the Metropolis of London’s economical sector.

A different proposed reform would see regulators’ remit increased to involve facilitating the competitiveness of the U.K. economic system, especially the money products and services sector.

On the other hand, John Vickers, former chair of the Independent Commission on Banking, warned in a letter to the Economic Instances this 7 days that the “distinctive favouring of the fiscal products and services sector … could be detrimental to it, as we all saw 15 decades ago.”

Tulip Siddiq, the opposition Labour party’s shadow metropolis minister, termed the proposed reforms a “race to the bottom.”

“Introducing much more chance and most likely extra economic instability mainly because you cannot handle your backbenchers is this Tory authorities all in excess of,” she explained, referencing ongoing infighting in just the ruling Conservative Get together.

“Reforms these types of as Ring Fencing and the Senior Supervisors Regime had been introduced for great reason. The Metropolis isn’t going to want weak consolation prizes for becoming bought down the river in the Tories’ Brexit deal, nor additional vacant promises on deregulation.”

Kay Swinburne, vice chair of KPMG UK’s monetary services exercise, explained to CNBC in emailed responses that the reforms have been a “stage closer to generating regulation far more productive alternatively than a race to the bottom.”

“When the majority of these reforms have been trailed ahead of, they signify a stage toward futureproofing the competitiveness and long-time period development of the UK’s Economical Products and services industry while searching for to sustain specifications.”

The UK just had a major market scare. Now it wants to relax financial rules

The UK just had a major market scare. Now it wants to relax financial rules


London
CNN
 — 

Just two months right after British isles markets experienced their worst meltdown since the world-wide monetary crisis, the British federal government is promising a major peace of fiscal regulation in a bid to shore up the country’s banking and insurance policy industries from developing level of competition from cities this kind of as Amsterdam and Paris.

The United kingdom Treasury unveiled a lot more than 30 measures Friday, dubbed the “Edinburgh Reforms.” These incorporate an exertion to make it a lot easier for corporations to list shares in London, a rethink of brief-offering polices and an addition to the mandate of top regulators, asking them to acquire account of progress and British isles competitiveness when placing regulations, as an alternative of just concentrating on the sleek and safe operating of the money technique.

Prime Minister Rishi Sunak’s government is also on the lookout at easing publish-2008 principles on separating the investing and retail routines of major financial institutions, as nicely as reviewing a regulation that designed prime professionals in the banking sector accountable for their conduct. The governing administration is also reportedly sticking with beforehand announced plans to scrap a cap on banker bonuses — an additional submit-2008 rule aimed at curbing excessive risk-taking.

“We are dedicated to securing the UK’s standing as one particular of the most open up, dynamic and aggressive fiscal services hubs in the planet,” Jeremy Hunt, the United kingdom finance minister, explained in a statement.

The work was initially touted as a “Big Bang 2.0” — a nod to the rapid deregulation of British isles money marketplaces below former Prime Minister Margaret Thatcher in 1986. But ministers have moved absent from that language, due to the fact the reforms are expected to be extra gradual.

The improvements are a bid to preserve London’s function as a international economical hub after Brexit, which, together with political turnover, has boosted uncertainty for companies imagining about where to make investments.

Nevertheless they also come on the heels of a major economical shock. Earlier this 12 months, trader blowback to strategies by previous Prime Minister Liz Truss to slash taxes though ramping up federal government borrowing unleashed turmoil in bond markets, and despatched the pound to a history lower from the US dollar. The Bank of England experienced to intervene to avert a wider crash.

Associates of the sector sounded their aid for the broad reform package deal. The industry foyer symbolizing UK’s economical companies, TheCityUK, reported the steps really should “help strengthen the UK’s attractiveness as a position for organizations to listing, commit, develop and do enterprise.”

But there are some in the sector who back polices such as the “ring-fencing” guidelines. They feel the necessity that banking institutions separate extra dangerous investing activity from their business enterprise controlling purchaser deposits could help guard against shocks, and make it much less likely the governing administration would require to use taxpayer dollars to bail out failing banks.

‘We see major stock markets plunging 25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996},’ says Deutsche Bank

‘We see major stock markets plunging 25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996},’ says Deutsche Bank

A U.S. recession induced by central-lender efforts to control inflation is very likely to get there by mid-2023 and induce a sharp and “temporarily painful” decline in equities, in accordance to Deutsche Bank researchers.

“We see major inventory marketplaces plunging 25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from concentrations somewhat previously mentioned today’s when the U.S. recession hits, but then recovering absolutely by yr-end 2023, assuming the economic downturn lasts only various quarters,” reported David Folkerts-Landau, group main economist and global head of analysis, and Peter Hooper, world-wide head of financial analysis.

In a take note introduced on Monday, the scientists cited persistently significant wage and selling price inflation in the U.S. and Europe driven by robust desire, limited labor marketplaces, and source shocks for their wondering. Centered on the historical report of many significant industrial international locations considering that the 1960s, any time trending inflation has declined by 2 proportion details or extra, these a decrease has been accompanied or induced by a rise in unemployment of at least 2 proportion factors. Now, they approximated, inflation tendencies in the U.S. and Europe are working all around 4 factors higher than desired levels.

Deutsche Bank
DB,
-2.50{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}
isn’t by itself in its contemplating. In July, legendary trader Jeremy Grantham warned that shares could plunge 25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} as the “superbubble” continues to pop. In August, Citi analysis analyst Christopher Danley wrote that chip stocks could drop by that magnitude as traders enter “the worst semiconductor downturn in a decade.” And previously this thirty day period, a team of analysts at Morgan Stanley
MS,
-1.12{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}
analysts led by Mike Wilson implied that the S&P 500
SPX,
-1.54{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}
could see additional draw back of up to 25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} if a economic downturn hits.

Read: S&P 500 to base in the initial quarter, making a ‘terrific obtaining opportunity,’ says Morgan Stanley’s Wilson 

A downturn might previously be below way in Germany, in which Deutsche Lender is dependent, and in the eurozone as a consequence of the strength shock triggered by Russia’s invasion of Ukraine, the Deutsche Bank researchers mentioned. Meanwhile, the Fed and European Central Bank are “absolutely committed” to bringing inflation down in the subsequent quite a few yrs, and “it will not be attainable to do so devoid of at minimum moderate economic downturns in the U.S. and Europe, and considerable boosts in unemployment.”

“The very good news is that we also feel the Fed and ECB will realize success in their
missions as they adhere to their guns in the deal with of what is probable to be withering public opposition as unemployment mounts,” Folkerts-Landau and Hooper wrote. “Doing so now will also established the stage for a far more sustainable financial and financial recovery into 2024.”

U.S. shares got a elevate last 7 days right after the minutes of the Federal Reserve’s most new assembly indicated that plan makers count on a slower tempo of amount increases will possible be correct shortly. On Monday, nevertheless, waves of protests in China brought on ripples of unease across money marketplaces, with all a few major inventory indexes, including the Dow Jones Industrial Common
DJIA,
-1.45{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996},
ending sharply reduced.

In April, Deutsche Lender turned the to start with main Wall Street financial institution to forecast a U.S. recession at some place. And in June, it noticed a threat that inflation would both speed up or are unsuccessful to decelerate rapid ample. The once-a-year headline inflation fee derived from the U.S. shopper-rate index fell to 7.7{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} in Oct immediately after coming in higher than 8{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} for seven straight months.

On Monday, Deutsche Bank’s scientists said they count on U.S. output to decrease 2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} in the calendar year forward.

More signs that a major shift in the economic narrative could be underway

More signs that a major shift in the economic narrative could be underway

This post was originally published on Tker.co.

There’s more evidence that the economic narrative could be undergoing a major shift.

For months, we’ve been living in an economy in which strong demand has been met with lagging supply, causing inflation inflation to surge. We now appear to be shifting to a phase where demand growth is cooling and supply chains are easing, which should cause inflation to come down.

According to Census Bureau data released Wednesday, orders for nondefense capital goods excluding aircraft — a.k.a. core capex or business investment — climbed 0.3{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} to a record $73.1 billion in April.

While the 0.3{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} growth rate represents a deceleration from the 1.1{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} rate in March, it’s the kind of slowing that’s welcome news for folks like the Federal Reserve, which is actively working to cool economic growth in its effort to bring down inflation.

“That is consistent with our view that economic activity is bending rather than breaking under the impact of higher rates,” Michael Pearce, senior U.S. economist for Capital Economics, said in a note on Wednesday.

Core capex growth represents a massive economic tailwind. And the fact that it continues to grow, albeit at a decelerating pace, is a good sign for economy-wide growth.

According to S&P Global Flash US Manufacturing PMI report released on Wednesday, these emerging economic trends have continued into May. Specifically, the composite output index fell to a four-month low of 53.8 in May. For this index, any reading above 50 signals growth, and so the declining number suggests growth is decelerating.

“Growth has slowed since peaking in March, most notably in the service sector, as pent up demand following the reopening of the economy after the Omicron wave shows signs of waning,” Chris Williamson, chief business economist at S&P Global Market Intelligence, wrote on Wednesday.

Consumer spending growth cools as excess savings get tapped

Growth appears to be cooling on the consumer front too.

According to a BEA report released Friday, personal consumption expenditures (i.e., consumer spending) increased by 0.9{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} in April from the prior month to new record levels. However, this was a healthy deceleration from March’s 1.4{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} growth rate.

The spending came as the saving rate (i.e., the difference between income and spending) fell to its lowest level since September 2008.

While this development on its own is unsettling, it comes after consumers spent over two years accumulating over $2 trillion in excess savings.

“It looks like households have been eating into the ‘excess saving’ that was built up at earlier stages of the pandemic in order to fuel consumer spending in recent months,” Daniel Silver, economist at JPMorgan, wrote in a note on Friday.

As we’ve discussed frequently on TKer, these excess savings represent a massive economic tailwind. For a while, you could argue that it was exacerbating inflation. But now it appears to be bolstering spending as the economy slows.

News of a slowdown is not exactly the kind of thing that warrants a celebratory tone. But it’s exactly the kind of thing that should help bring inflation down.

More signs that supply chains are easing

S&P’s PMI report also suggested there could be some daylight in the disrupted supply chains.

“Manufacturers in particular also report that capacity continues to be constrained by supply shortages, though these bottlenecks showed further encouraging signs of easing,“ S&P’s Williamson said (emphasis added).

It’s also been a while since we’ve heard about ships idling outside of ports waiting to be unloaded.

“U.S. port data suggest easing backlogs,” JPMorgan economists wrote last week. “Notable examples are the ports of Los Angeles and Long Beach, which process about 40{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} of total imports into the US.”

And it’s not just ocean freight that’s loosened. Trucking freight seems to be loosening too.

According to BofA’s Truck Shipper Survey for the week ending May 19, “shippers find it much easier to secure capacity (its highest level since June 2020).“

Unfortunately, at least some of these signs of loosening supply chains can be explained by easing demand for goods. But again, this is the dynamic that should make for easing inflation.

More signs that the labor market is cooling

Bloomberg reported that tech behemoth Microsoft was slowing hiring in its Windows, Office, and Teams businesses.

PayPal laid off 83 employees at its headquarters in San Jose.

These are anecdotes. But the developments are in line with the Fed’s aim of cooling inflation by first cooling the labor market.

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Signs that inflation peaked

Last month, I wrote about how economists across the board were saying that inflation — as measured by year-over-year increases in prices — had peaked.

On Friday, we got more evidence to confirm that may be the case.

The core PCE price index — the Fed’s preferred measure of inflation — climbed 4.9{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} in April from a year ago. This is down from the 5.2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} rate in March and the 5.3{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} peak rate in February.

On a month-over-month basis, the core PCE price index has climbed by a cool 0.3{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} over the past three months.

It’s still too early to claim victory on inflation

“Many have touted March as the peak in inflation and are looking for inflation to cool from here,” Grant Thornton Chief Economist Diane Swonk said on Friday.. “We are not as convinced given the risks we still face due to the war in Ukraine and lockdowns in China. Either way, it is important to note that any cooling we see will have a high floor. Both the overall and core PCE indices remain well above the Federal Reserve’s 2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} target.”

Indeed, inflation has a long way to go to get to 2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from 4.9{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}.

And so, we’ll have to keep an eye on the incoming data to see if a major shift in the economic narrative is indeed underway.

More from TKer:

Rearview 🪞

📈 Stocks surge, ending 7-week losing streak: The S&P 500 rallied 6.6{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} last week, ending a seven-week losing streak. It was the biggest one-week gain since November 2020. The index is now down 13.3{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from its January 3 closing high of 4796.56, but 6.6{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} above its May 19 closing low of 3,900.79. For more on market volatility, read this and this. If you wanna read up on bear markets, read this.

💰 Corporate insiders are buying their companies’ stock: From JPMorgan: “…corporate insiders are holding a non-consensus view across most sectors and actively buying the dip with net insider buying activity reaching 1STDev above trend level.“

📈 Mortgage rates are still high, but tick down: The average rate for the 30-year fixed rate mortgage declined to 5.10{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from 5.25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} the week prior. Here’s Freddie Mac: “Mortgage rates decreased for the second week in a row due to multiple headwinds facing the economy. Despite the recent moderation in rates, the housing market has clearly slowed, and the deceleration is spreading to other segments of the economy, such as consumer spending on durable goods.“

🏡 New home sales slump: Sales of newly built homes fell 16.6{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} month-over-month to an annual rate of 591,000 units, according to Census Bureau data.

😤 Consumer sentiment tumbles: The University of Michigan’s index of consumer sentiment fell to 58.4 in May, its lowest level since August 2011. From the survey: “This recent drop was largely driven by continued negative views on current buying conditions for houses and durables, as well as consumers’ future outlook for the economy, primarily due to concerns over inflation.“

Keep in mind that deteriorating sentiment hasn’t come with a decline in spending in recent months. For more on sentiment, read this.

🛫 People are doing stuff: From Yahoo Finance’s Emily McCormick: “On Thursday, both Southwest Airlines and JetBlue raised their quarterly guidance, citing strong demand heading into the critical summer travel season. Both upward revisions came just weeks after the companies initially reported their forecasts last month.“

This follows a similar announcement from United Airlines last week. Altogether, it’s apparent that people are refusing to put their lives on hold.

Up the road 🛣

It’s jobs week in America. Wednesday comes with the April Job Openings & Labor Turnover Survey and Friday comes with the April employment report. Employment growth has been very strong and record-high job openings have enabled workers to earning higher wages.

However, there are nearly two job openings per unemployed. This good news is being blamed for high inflation, which is bad, which is what the Fed is aiming to address with tighter monetary policy.

U.S. financial markets will be closed on Monday for Memorial Day.

Sam Ro is the founder of Tker.com. Follow him on Twitter at @SamRo.

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