1️⃣ Series about American - Chinese Straight:
"The US Commerce Department said Thursday that it has added seven Chinese supercomputer entities to the US economic blacklist for supporting China's military efforts."
2️⃣ Fed President - J. Powell's speech at the IMF Conference tonight:
- "Federal Reserve Chairman Jerome Powell said on Thursday that an increase in spending as the US economy reopens, coupled with supply bottlenecks, is likely to push prices higher in this year, but will not lead to price increases year after year constituting inflation.
- "We think there will be bullish pressure that can be passed on to consumers in the form of price increases - we think that is only temporary," said Powell at an International Monetary Fund event, Note that inflation has been at a 25-year low, nurturing a sentiment of low inflation expectations.
- “If inflation is sudden, contrary to our expectation, the move means above the level we are comfortable with - and especially inflation expectations ... if we see them moving continuous and essential on the level we are comfortable with, we will react to that. "
=> There are 2 main ideas: Price may rise but does not mean inflation, and as long as we see inflation above the 2% target and there is real pressure, we will see Fed action, otherwise, the interest rate will remain low Zero.
3️⃣ Notable facts and economic data today
- Tonight the US announced the PPI producer price index and Canada will announce the employment index in March.
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