US diesel prices at the pump have surged to the highest in almost a year as retail markets catch up with tightness in global supplies of the widely used fuel, threatening to boost inflation https://t.co/XRhxavyQRq ...

For more, let's bring in Jeffrey's chief market strategist, David Zervos. David is also a CNBC contributor. Uh, David, what did you make of the president's comments this morning as it pertains to the Fed and uh his process for appointing the next Fed chair? >> Well, I don't think there was a lot new, at least from my perspective there. The markets seem to be talking a lot about Scott and um I think Scott said in many interviews here uh he loves his job and he's doing a great job. The president likes the job ...

Financial Data and Key Metrics Changes - Consolidated net sales increased by 6.6% to $380.3 million, setting a new quarterly record [17] - Gross margin improved to 38.3%, reflecting a 150 basis point increase year over year [18] - Adjusted EBITDA reached a record $86.4 million, up 1.4% compared to the prior year [21] - Free cash flow for the quarter was $56 million after $12 million in capital expenditures [9] - Adjusted net income per diluted share increased by 6.3% year over year to $0.34 [22] Business Line Data and Key Metrics Changes - Water Supply Solutions (WSS) net sales increased by 4.1% to $216.6 million, driven by volume growth in iron gate and specialty valves [22] - Water Management Solutions (WMS) net sales rose by 10.2% to $163.7 million, led by strong volume growth in repair products and hydrants [24] - Adjusted operating income for WSS increased by 4.7% to $60.5 million, while WMS saw a 12.6% increase to $30.3 million [23][25] Market Data and Key Metrics Changes - The residential construction market is experiencing a slowdown, particularly in single-family housing starts, which may impact future sales [35] - The municipal repair and replacement market remains strong, driven by the need to repair aging infrastructure [37] Company Strategy and Development Direction - The company aims to enhance operational efficiencies and customer service while navigating external challenges such as tariffs [9][16] - Focus on sustainability and innovative solutions is emphasized, with ongoing investments in facilities and employees [10][30] - The closure of the legacy brass foundry is expected to yield benefits in the upcoming quarters [14][40] Management's Comments on Operating Environment and Future Outlook - Management acknowledges heightened macroeconomic and geopolitical uncertainty but remains optimistic about achieving record results for the second consecutive year [7][9] - The anticipated impact of tariffs has been lower than initially expected, with ongoing efforts to mitigate costs through pricing actions and supply chain initiatives [14][15] - The company is excited about the long-term growth potential in water infrastructure solutions, despite current challenges [30][72] Other Important Information - The company has updated its annual guidance for 2025, increasing net sales expectations by $15 million and adjusted EBITDA by $7.5 million [27][28] - Total debt stands at $451 million, with a strong balance sheet and no debt maturities until June 2029 [26][27] Q&A Session Summary Question: Insights on end markets and stability - Management noted a slowdown in the residential construction market, particularly in single-family housing starts, while the municipal market remains strong [35][37] Question: Margin outlook and FX impact - Management indicated that the FX headwind was a one-time event and that margins are expected to improve moving forward [38][46] Question: Legacy brass foundry impact on margins - The legacy brass foundry closure is expected to improve margins, with the tariff impact being significant in the specialty valve business [44][45] Question: Infrastructure funding and market conditions - Management expressed that infrastructure funding has been slow, but the need for investment in water infrastructure remains critical [70][72] Question: Pricing actions and demand pull forward - No significant pre-buy demand was observed, and pricing adjustments have been made in response to tariffs [62][64]

Shep. We also seem to get confirmation of something that the treasury secretary has pretty much signaled he doesn't want the job at the fed. He likes where he is.Yes, he does. And the president made very clear that he had four candidates. He talked about the two Kevins.Kevin Warsh and Kevin Hassett as being contenders. But he made clear that Scott Bessant really wanted to stay in his role as treasury secretary. He was he was enjoying the job.And he made clear that, look, Scott Besson's name can come off the ...

Economic System Concerns - The global financial system is under unprecedented pressure due to soaring inequality, massive debt, rising living costs, and economic uncertainty [1] - Capitalism faces a serious test due to financial repression, an invisible tax on savers where interest rates are kept below inflation [4][5] - Consumer debt is ballooning, with total household debt in the US topping $18 trillion and credit card debt surpassing $1 trillion with interest rates averaging over 20% [9] - Real wages have barely budged since the 1970s, while assets like real estate and stocks have soared, benefiting the wealthy and driving inequality [12][13] Historical Context and Evolution of Capitalism - Capitalism emerged from feudalism, driven by entrepreneurs and innovators, and was intellectually championed by Adam Smith [17][18] - Capitalism has adapted throughout history, including interventions by Teddy Roosevelt and Franklin Roosevelt, and the post-World War II welfare states [22][23] - The dismantling of regulations in the 1980s and globalization led to imbalances that ignited the 2008 financial crisis, followed by unprecedented monetary stimulus [24] Challenges to Current Capitalism - Weak growth, extreme inequality, technological displacement, and digital rent extraction combine into what many call late capitalism [37] - Growth is lacking major innovations to drive broad-based prosperity, leading to reliance on artificial means like QE and low interest rates [29][30] - Automation and AI are displacing jobs, potentially making millions economically irrelevant and creating a problem for consumer capitalism [33][34] - Platform economies dominated by giants like Amazon, Apple, and Google are generating revenue by controlling essential services and extracting rents, stifling genuine competition [35][36] Potential Alternatives and Solutions - Potential alternatives include a resource-based economy, universal basic income (UBI), decentralized crypto-based economies, and reformed capitalism [39][40][44][46] - Reformed capitalism could involve breaking up big tech monopolies, closing loopholes for corporations and billionaires, and investing in education and infrastructure [47] Investment Strategies for Economic Shifts - Traditional financial institutions, especially banks and insurers, are particularly exposed due to financial repression [53] - Consumer-facing industries are at risk due to eroded consumer purchasing power [54] - Hard assets like gold, silver, commodities, and selected real estate may perform well under financial repression and inflationary conditions [56] - Industries aligned with government spending priorities, such as infrastructure, energy, healthcare, and defense, may offer opportunities [57] - Decentralized cryptos like Bitcoin and Ethereum may serve as hedges against financial repression and inflation [58] - Geographical diversification and active portfolio management are crucial in navigating the uncertain economic environment [60][61]

Market Sentiment & Fed Policy - The market is trying to interpret whether bad economic news will lead to a more dovish stance from the Federal Reserve [1][2][3] - A softening job market could prompt the Fed to act, but the S&P 500's level of approximately 6,300 may not reflect this potential weakness [3] - Inflation is seen as a greater constraint on the Fed's actions than weak jobs data [9] - The market is anticipating the August payroll number before the next Fed meeting [7] Economic Indicators & Job Market - A previous jobs report was considered bad news due to a Fed governor stepping down and issues with the BLS [2] - A three-month average of 35,000 jobs was the worst seen since before COVID [7] - There's a possibility of a large "jolts number," indicating a shortage of people to fill available payroll positions [11] Earnings Season & Market Outlook - The recent earnings season has been extraordinary, with approximately 9% of companies beating earnings estimates and around 7.5% beating top-line estimates, and about 4% on the bottom line [5] - Despite stellar reports from mega-cap tech companies, the market experienced a sell-off [13] - August through October are historically the weakest months for the S&P 500, suggesting a potential revisit of the sell-off in the coming weeks [12]

The Czech koruna is likely to keep outperforming central European peers as inflation risks point to an end of the central bank’s interest rate cuts, according to ING Bank NV https://t.co/f3eftK5N6U ...

And you can see right now the ten year at 422, the two year at 370. >> And now to the gusts that we've been talking about all morning President Donald Trump. Mr.. President welcome. Thanks for thanks for calling in. Wish you could be here in person, but we'll do this.>> Good morning Joe. >> We've been talking about the BLS and the employment numbers all morning long. Sometimes I know you get a chance to tune in. I want to bring up a chart.I hope you can see it, or else I'll describe it to you. This is the r ...

is is that the Trump administration is making the same mistake that the Biden administration made which was to basically you know remember we had Biden is working well now we have the golden age of American prosperity's return and Americans are not feeling that better to say we're we're working hard to put America on the right road rather than declaring premature victory and I think that's a big mistake for the White House and is likely to come back and and bite him in the midterm election >> that's uh Repu ...

UK businesses are facing another inflation-busting jump in wage costs for their lowest-paid workers next year https://t.co/bIxINELVIG ...