𝐏𝐢𝐧𝐞𝐜𝐨𝐧𝐞 𝐌𝐚𝐜𝐫𝐨

Trump administration plans to reduce the U.S. military forces earmarked for NATO in a major crisis, signaling Europe should take more responsibility for its own defense. The change is expected to be announced to allies in Brussels on Friday. Source: Reuters

Bessent: After "one or two more hot inflation numbers...I think we're going to see substantial disinflation." "I was never on team transient during Covid, and a lot of that had to do with what happened with very expansionary fiscal policy that was financed by debt purchases from the Central Bank, kind of an experiment in modern monetary theory that caused inflation. And, but here, I firmly believe that nothing is more transient than a supply shock. And we can, we can look through that because before the Iranian conflict began, core inflation was coming down. So I think core inflation will continue coming down. We’ll get to the other side of this, and I don’t know whether it’s a few days or a few weeks, and energy inflation will come back down. And we’ve got the start of the Warsh Fed…. And I think that he’s going to bring an open mind to this. And I actually think he’s going to be in a very good position, because we may get a series, one or two more hot inflation numbers, but then I think we’re going to see substantial disinflation.

JD Vance has a new argument: If Iran gets a nuclear weapon, a lot of other nations would want their own nuclear weapons. Iran would be the first domino in a new nuclear arms race.

NATO Supreme Allied Commander Transformation (SACT) Admiral Pierre Vandier: Ukraine and the Middle East show us that war is now shaped by speed, mass, software, drones, electronic warfare, space and data — areas where we have a lot to do. So yes, we need more missiles, more shells, more air defense, more capabilities, more stockpiles. These are essential, but they will not be sufficient on their own. More of the same is necessary, but more of the same will not be enough.

Stocks are inflation hedges they say... not if your government is bad enough.

UK TREASURY PUSHES SUPERMARKETS TO CAP FOOD PRICES

Reporter: How many days does Iran have to come to the table? Trump: Two or three days. Maybe Friday, Saturday, Sunday. Maybe early next week. A limited period of time.

GULF OFFICIALS FROM COUNTRIES TRUMP MENTIONED SAID THEY WERE NOT AWARE OF THE IMMINENT PLAN TO ATTACK IRAN: WSJ

VILLEROY: IRAN CONFLICT CREATES RISK TO GROWTH AND INFLATION

Israeli Culture Minister Miki Zohar: I very much hope that Türkiye does not choose the path of war with Israel, because there is no doubt that it would pay an enormous price for doing so. They are welcome to try to attack us. The Iranians thought the same thing — and look where they are today. If the Turks think the same way, they may find themselves in an even worse situation.

The 30y Treasury yield keeps climbing and is now at levels consistent with the average seen in the early 2000s

Discus King of the Big 12 👑 🥇 Canaan Wharry, 58.49m