Last Week: 0.36%
YTD: 10.39%
1 Year: 29.63%
Dow Jones Industrial Average
Last Week: 0.82%
YTD: 6.02%
1 Year: 21.91%
Last Week: -0.43%
YTD: 8.90%
1 Year: 35.32%
Last Week: 2.55%
YTD: 5.04%
1 Year: 19.51%
YTD: 11.39%
1 Year: 39.00%
YTD: 8.97%
1 Year: 20.28%
Baltimore Bridge Collapse
Last Tuesday, a cargo ship crashed into Baltimore’s Francis Scott Key Bridge, following a mayday call for loss of power on the ship. This disaster is going to have major shipping and supply chain implications. The operation to clear the wreckage and reopen the major shipping channel started over the weekend. Baltimore was the ninth-busiest port in the nation based on U.S. trade volume, according to 2023 data. It is the highest-traffic port for cars and farm equipment. These areas are going to be affected the most. The Federal Government has offered $60 million in funding to help clear the wreckage and cover 90% of the cost of rebuilding the bridge.
Key Inflation Data
Friday’s key Fed inflation data revealed the personal consumption expenditure price index, excluding food and energy, increased 2.8% year over year. It was up 0.3% from a month ago. Both numbers were in line with the analysts’ estimates. Consumer spending was up 0.8% on the month, well above the estimated 0.5% that was expected. This consumer spending number came in strong, while personal income came in slightly under at 0.3%, compared to the 0.4% estimated. Each of these measures will be closely watched by the Fed as they continue their discussion on future rate decreases.
Electric Vehicle Competition Heats Up
Chinese electric vehicle maker, BYD, reported higher quarterly sales and production volume despite growing competition from Chinese rivals and Tesla. New vehicle sales for BYD increased 13% from a year ago and were up 46% in March compared to the first two months of the year. BYD recently overtook Tesla as the top seller of EVs globally. This growing competition internationally for Tesla has a price war heating up. BYD cars are more affordable and offer a lower entry point to lure new EV buyers into the market. Price margins on EVs have started to drop as each company has been in competition to lower the prices of their cars. BYD is not currently selling any of their EVs in the U.S.