From Reuters:
In an interview with NBC’s Meet the Press that aired on Sunday, Trump said he did not believe that consumers ultimately pay the price of tariffs, adding “I think they’re beautiful.”
Eggs
Guest Contribution: “The Diminishing Impact of Exchange Rates on China’s Exports”
Today, we’re fortunate to have Willem Thorbecke, Senior Fellow at Japan’s Research Institute of Economy, Trade and Industry (RIETI) as a guest contributor. The views expressed represent those of the author himself, and do not necessarily represent those of RIETI, or any other institutions the author is affiliated with.
US Tariff Pass-Through on Chinese Imports Is High
So be prepared. From Feng, Han, and Li (2023):
Instantaneous Core and Supercore Inflation for November
Including PPI and nowcasted PCE:
Instantaneous Inflation in November (and October)
Up for CPI and chained CPI.
The Likelihood of a Plaza Accord 2.0
Mark Sobel at OMFIF discusses the likelihood of an new Plaza Accord to depreciate the dollar. Given one would need Euro area and Chinese agreement, the assessed likelihood is low
Disingenuousnous Watch
Whose Real Wage?
EJ Antoni writes:
Today’s employment data showed further gains in earnings, but cumulative price increases have still far outpaced earnings growth over the last 4 years.
According to the Household Budget Index, it’s even worse when just considering prices for things you have to buy, i.e., food, housing, etc.
EJ Antoni Worries about the Gap between CES NFP and CPS Employment
From a X post today: