(BUY PRODUCTS NOW BEFORE TRUMP TARIFFS HIT)
December 11, 2024
Hello everyone
ON THE RADAR TODAY
November CPI report.
Economists expect a monthly increase of 0.3% for both the headline CPI reading and core CPI, which excludes volatile food and energy prices. The November producer price index, scheduled for Thursday, is expected to show an increase of 0.2% in its headline and core readings. The thinking on Wall Street is that the Fed is highly likely to cut interest rates next week if inflation comes in at or below expectations in those two reports. Still, there is an element who disagrees and believes the Fed will hold if the CPI reading came in above 0.40%. The Labor market remains front of mind for the Fed.
WHAT TO BUY BEFORE TRUMP’S TARRIFS ARE ROLLED INTO PLACE
According to Trump’s policy promise, he plans to issue a 25% tariff on products from Canada and Mexico on his first day in office, as well as an additional 10% on top of the rates still in place from his first administration on Chinese imports.
The importers paying the tariffs will likely pass them on to consumers.
Many retailers are already preparing their customers for increased prices and encouraging them to shop now.
Of course, it’s unclear how much prices will increase and which specific items will be affected, but it would be a good idea to start thinking about any large purchases you might be planning. For instance, do you need to upgrade your iPad or your MacBook? My advice: Do it now.
These are some of the categories where prices are expected to increase.
Laptops and tablets
Videogame consoles
Smartphones
Apparel, footwear and accessories
AUSTRALIAN NEWS CORNER
The Reserve Bank of Australia keeps interest rates on hold at 4.35%. People hoping for an early Christmas gift from the RBA were let down once again. Now, the odds are that the RBA won’t start to cut interest rates until about April next year, so Australia still has some time to wait.
WORLD NEWS CORNER
Syrian regime falls. Assad flees to Russia. Full implications are still unfolding, but the hope is that the factions that make up the rebel force can work together to bring some semblance of stability to the country.
QI CORNER
SOMETHING TO THINK ABOUT
Cheers
Jacquie
