BREAKING:🇺🇸 MORGAN STANLEY SAYS CPI AND JOBS DATA WILL GUIDE FED, NOT JACKSON HOLE. https://t.co/pgVYLTwPsB ...

President Donald Trump narrowing his choices to replace Fed Chair Jay Powell to three or four names, saying he'll announce his nominee a little earlier than initially expected. Joining us now is the former economic adviser to President George W Bush, Mark Sumlin. Mark, of course, your name has been in the mix as well over the past week or so.Welcome to the program. Let's just start with the base case, the case for rate reductions. Mark, what do you think the strongest case there is right now.Right. I think ...

Data Reliability Concerns - Economic data inherently contains noise and uncertainty due to its reliance on surveys [1] - The level of noise and uncertainty in economic data has increased in recent years [2] - CPI data is not typically revised, meaning the initial number is considered final, although seasonal factors are adjusted [2][3] Jobs Data Revisions - The birth-death model, a significant factor in job creation calculations, has shown a substantial increase in annual revisions [3] - The annual revision for jobs data has increased from approximately 5,000 to almost 300,000 in recent years, representing a roughly 6000% increase in error size [3] Call for Improvement - There is a need to improve the reliability, believability, and credibility of economic statistics [3]

On this episode of Market Sense, we're breaking down a very busy week of earnings, economic data and announcements, and analyzing what it might mean for the economy and bull market. Plus, we're digging into new tariff deals, the debate surrounding the Fed’s latest decision on interest rates, and the latest inflation and jobs data. Topics covered: • Weak Job Numbers • The Fed & Interest Rates • Tariff Impact Bookmark the Fidelity Viewpoints Market Insights webpage for the latest on market headlines and volat ...

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AI and Computing Power Demand - The demand for computing power is insatiable, indicating a long runway for investment in physical infrastructure like semiconductors and cloud [1][2][3] - The expansion between Oracle and Open AI is 45 gigawatts worth of capacity, highlighting the significant energy requirements of AI development [3] - The U S is likely to lead the AI race due to its self-sufficiency and relatively cheap energy production compared to Europe and the U K [5] Energy Sector and Infrastructure - The energy sector and energy infrastructure requirements are intrinsically linked to the need for computing power, leading hyperscalers to invest in energy sources like nuclear [4] - The quest for cheaper, more efficient energy is crucial for supporting data center expansion and AI development [5] Market and Economic Factors - The jobs data is considered "Goldilocks" because of better-than-expected job numbers and a solid labor market, alongside slower wage growth [6][7] - The Federal Reserve is in no urgency to cut rates, which the market seems to prefer, valuing a strong labor market over immediate rate cuts [7] Technology Sector Performance - Technology sector exhibits strong earnings growth and benefits from productivity gains, making it an attractive area for investment [9] - Lower bond yields and interest rates, potentially resulting from future rate cuts, would particularly benefit growth areas like the technology sector [10]

Traders Closely Watch Tax Bill and Jobs Data - Bloomberg Surveillance https://t.co/gnRCtYi3Bi ...