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A Boy Who Cried Wolf Mindset Now Exists Among Many Investors and Policymakers

Following many years of big growth-stock gains and low inflation, some are dismissing credible risks much too easily.

Why used car prices went absolutely insane last month

You thought the price of wood was nuts? Just check out what’s going on at car dealerships. After cooling off a bit from a surge last year, the cost of used vehicles suddenly shot up 10 percent in April alone, according to the Bureau of Labor Statistics’ official inflation report on Wednesday. The sudden acceleration was the largest one-month increase in the category since the government began tracking the Consumer Price Index in 1953. Federal Reserve Bank of St. Louis Advertisement Advertisement Americans have seen prices on a number of items soar thanks to tangled supply chains that have made it difficult for companies to keep up with demand from flush consumers, who are shaking off the pandemic and ready to spend. (Again, see the price of a 2-by-4.) Used car prices, in particular, have been driven up by a confluence of factors.

OP: Can the Nasdaq Rally After Tech Blowout?

Chart of the Day Tesla’s Bitcoin Investment Fails to Bring Coattail Effect Tesla Inc.’s decline after reporting first-quarter results underscored its inability to ride the coattails of a profitable investment in Bitcoin. Shares of the electric-car maker slid 4.5% Tuesday, while the digital currency rose 3.6%. The contrast in performance is even sharper since Feb. 8, when Tesla disclosed the purchase of $1.5 billion in Bitcoin. From that day through Tuesday, Tesla sank 17% as the currency climbed more than 40%. The company made $101 million in the first quarter from Bitcoin sales. Chief Executive Officer Elon Musk tweeted that 10% of its holding was sold.

Recovery bets support stocks as Fed comes in focus

Recovery bets support stocks as Fed comes in focus
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