Why Are Groceries So Expensive If Inflation Is “Cooling”? The Odometer Trick, Explained Why are groceries so expensive when every headline says inflation is calming down? Because two different things are being measured — and confusing them is probably the single most common misunderstanding in all of economics. Grocery inflation has slowed to a modest … Read more
Yen Carry Trade Explained: Why Japan Finally Waking Up Is Shaking Global Markets The yen carry trade explained in one sentence: for decades, the world has borrowed nearly-free money in Japan and invested it everywhere else — and in its latest data, Japan gave its clearest signal yet that the nearly-free era is ending. The … Read more
China Economy Slowdown Explained: Why the World’s Factory Keeps Shrinking This morning, Beijing released one number — 49.8 — and economists around the world immediately understood what it meant. If you’re not one of them, that’s exactly what this guide is for. The number is China’s official manufacturing PMI for August, published today by the … Read more