Monster SpaceX IPO, Hot Inflation Prints and New Fed Chair With New Ideas (E265)

DoubleLine’s Eric Dhall and Ryan Kimmel run down the June 8-12 market week, which marked the arrival of the historic SpaceX IPO – an impressive debut for a company with no profits, as Mr. Dhall notes. Aside from the SpaceX splash, the broader equities market was up a little with quite a bit of dispersion in performance. Fixed income (3:37) was positive across the board, with a rally in rates catalyzed by talk of a potential ceasefire. Commodities (5:22) were down for the week, led by energy, but the spike for Dr. Copper could be a positive sign. On the macro front (9:45), the big story was some hot CPI and PPI inflation prints. While the headline numbers were pretty stark, Mr. Kimmel takes a look underneath the hood to provide a more detailed prognosis. He notes that the CPI and PPI numbers are pointing to a hot PCE print later in the month. Next week (18:57) will be all about the inaugural FOMC meeting for new Fed Chair Kevin Warsh. Messrs. Dhall and Kimmel look forward to his debut, cautioning that the arrival of a new chair often leads to some market volatility. Be sure to check out DoubleLine’s Fed Day coverage, including CEO Jeffrey Gundlach joining CNBC’s “Closing Bell” to share his thoughts on the new chair and his first post-FOMC meeting press conference. Minutes will be off next Friday for the Juneteenth holiday but will return June 26. Happy holiday!