Despite the fact that the CPI came in weaker than expected, cyclicals enjoyed a major rally this week due to the fiscal stimulus bill that just passed. Will this bill remediate Global Warming? Of course not. But the attendant short covering rally could initiate global meltdown, which will do more to reduce the carbon footprint than any legislation imagined by any government...
Banks rallied this week, despite the flattest yield curve in 40 years.
This is the first weekly close for crude oil below the 200 dma since the pandemic started:
Inflationists wrong.
Again.
What is more cynical, to vote AGAINST a bill to finally address Climate Change? Or to vote FOR a bill that is too little too late?
"Once I stood to lose her
When I saw what I had done
Bowed down and threw away the hours
Of her garden and her sun
So I tried to warn her
I turned to see her weep
Forty days and forty nights
And it's still coming down on me"