In this week’s Closing Bull, the CPI report showed prices had risen 8.6% year over year. US chicken prices have gone up 16%. Avian flu has spread through major production regions, increasing boneless chicken breast prices by 68%. African swine fever has also swept through global pig herds. Elon Musk has put his deal to buy Twitter on hold. Twitter stock has fallen by 20% since the signing of the takeover.
Key News This Week:
CPI report rising prices of 6.8% year over year.
Chicken prices in the US have gone up by 16%.
Avian flu has increased boneless chicken prices by 68%.
African swine fever has impacted global pig herds.
Elon puts his deal to buy Twitter on hold.
Twitter stock has suffered a 20% loss since the signed takeover.
Read the Transcript
Hi and welcome to my financial markets’ re-cap for the week.
A quiet week for our Prophetick Market forecast this week, and a good thing too. No trades allowed us to miss the turmoil this week and I am glad for that. Another swing higher coming soon we believe. More news on that next week.
That was the system update, what is happening in the news?
The market was pretty flat this week, slightly down until the jitters started last night regarding what the Core Consumer Price Index was going to show at 8:30 am this morning.
Well, that report hit the news wires and it was even worse than expected really.
The CPI came in at its highest level since 1981. The report showed prices rising 8.6% year over year, and 6% when excluding food and energy prices.
Economists surveyed by Dow Jones were expecting year-over-year increases of 8.3% for the main index and 5.9% for the core index. So even more elevated than expected, yikes!
Talking of inflation, if you like Buffalo wings, get used to paying more. Chicken prices are through the roof. US chicken prices have surged up 16% in April from a year before.
Chicken is the world’s most popular meat by far, followed by pork and beef. A series of events have combined to send chicken prices soaring — worker shortages being just the tip of the iceberg.
Avian flu has spread through major producing regions, wiping out 38M chickens in the US alone — where the price of boneless skinless breast is up 68% this year.
Price-sensitive consumers might swap chicken for cheaper pork, but now an African swine fever is sweeping through global pig herds. Good grief! Time to become a vegetarian!
In tech news, last month Elon Musk said the legally binding deal to buy Twitter is on hold until Twitter proves its claim that fewer than 5% of daily users are bots.
Twitter’s stock has fallen over 20% since the takeover was signed, which means Elon’s on the hook for $14B more than the company’s current market value based on the deal that was put forward. Analysts suspect his real goal is to pressure Twitter into renegotiating at a lower price. Let’s see.
That’s it from me, It’s Friday, time to down tools, thanks for watching, and bye for now.
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