Faber News Flow

Despite the Fed's proclamations, the dollar lost purchasing power at a good clip. The inflation measure by the Cleveland Fed – the " Median CPI " – rose at 0.3% in January from December. This translates into an annualized rate of 3.7%.

https://www.zerohedge.com/economics/debt-deficits-path-mmt  

India sources about 80% of raw material for drugs from China India, the world's second-most populous nation, is facing the ripple effects of shutdowns in China with production of medicines to mobile phones being hit as supply chain disruptions prolong. Prices of paracetamol, the most commonly used analgesic, have jumped by 40% in India, while the cost of azithromycin, an antibiotic used for treating a variety of bacterial infections, has risen by 70%, said Pankaj R. Patel, chairman of  Zydus Cadila . The pharma industry could face shortages in finished drug formulations starting April if supplies aren't restored by the first week of next month, he said. The coronavirus, which has killed more than 1,000 people and stoked fears of a broader slowdown in China, has disrupted global supply lines after factories there slowed production and people were restricted from moving in and out of the country. As manufacturers based in China restart factories, nations such as India that depen...

In our ongoing attempts to glean some objective insight into what is actually happening "on the ground" in the notoriously opaque China, whose economy has been hammered by the Coronavirus epidemic, lst week were stressed out several "alternative" economic indicators such as real-time measurements of air pollution (a proxy for industrial output), daily coal consumption (a proxy for electricity usage and manufacturing) and traffic congestion levels (a proxy for commerce and mobility), before concluding that China's economy appears to have ground to a halt. That conclusion was cemented after looking at some other real-time charts which suggest that there is a very high probability that China's GDP in Q1 will not only flatline, but crater deep in the red for one simple reason:  there is no economic activity taking place whatsoever. We start with China's infrastructure and fixed asset investment, which until recently accounted for the bulk of Chinese GDP. As ...