Democrats in New York City and their allies in leftist corporate media are keeping a massive migrant shelter hidden from the public, located at a previously operational airfield in southern Brooklyn. This comes as the metro area has been flooded with upwards of 175,000 illegals in just a few short years. 

According to a recent AFP News report, large white tents full of Central and South Americans, Africans, Chinese, and Russians are packed like cattle on one of the runways at Floyd Bennett Field. It’s hard to say how many migrants are in the tent city, but some figures put it at nearly 2,000. 

Corporate media has largely ignored this sprawling tent city of illegals. Only a handful of articles have been published about it over the last three months. 

Forget legacy media outlets whose journalists are bought and sold by mega-corporations and heavily influenced by Washisngton’s censorship-industrial complex because citizen journalists have revealed new footage of the migrant tent city. 

X user Henry Facey’s drone video of the tent city has been reposted by many on the free speech platform and has since gone viral. 

This Is New Drone Footage Taken From The Floyd Bennet Field Illegal Migrant Camp, Marine Park, Brooklyn, New York City

If not for citizen journalists you’d have no idea how massive these illegal immigrants centers are.

This is The Great Replacement pic.twitter.com/Hf80gijgQD

— Wall Street Apes (@WallStreetApes) March 20, 2024

A separate investigation by Facey shows another tent city in the metro area. 

WHY IS RANDALL’S ISLAND MIGRANT CENTER BEING HID FROM THE MEDIA?

I QUICKLY GO OVER LOTS OF WHAT I PERSONALLY SAW IN…

AN OVERVIEW OF THE RANDALL’S ISLAND MIGRANT CENTER!

Randall’s Island, NYC

Video: #0004
Video taken: 01/08/24 – 01/31/24
Video length: 1 minute and 42 seconds pic.twitter.com/2Cu95jsANV

— Henry Facey (@InfoUncensored) February 13, 2024

Elon Musk posted a quick two-minute video detailing the end goals of the migrant invasion facilitated by the White House, non-governmental organizations, and mega-corporations. 

This is actually happening!
pic.twitter.com/qeNBu3S1mF

— Elon Musk (@elonmusk) March 19, 2024

Authored by Mike Shedlock via MishTalk.com,

Under EPA rules, EVs will need to be 30-40% of the market by 2030, down from the proposed 60%. And it now costs more per mile to fuel an electric F-150 than a gasoline powered truck.

More Time to Hit Nonsensical Targets

The Biden administration had no choice given a consumer and auto manufacturer revolt against EVs.

Today, the Wall Street Journal reports Biden’s EPA Gives Automakers More Leeway to Phase Out Gas-Engine Cars

The Biden administration enacted the strictest-ever rules for tailpipe emissions but also handed the auto industry a significant concession by giving them more time to comply, a recognition that the transition to electric cars will take longer than hoped.

To hit the targets for model-year 2030, for example, an estimated 31% to 44% of new light-vehicle sales would need to be electric, rather than the 60% mark originally proposed.

Thousands of U.S. dealers signed letters to Biden in an organized campaign to get the administration to back off the emissions targets, saying there wasn’t enough consumer interest to support such a big swing to EVs.

On Wednesday, the dealer group said the slower implementation of the rules is helpful but the targets are still too aggressive. “This is unelected Washington bureaucrats dictating what kind of vehicles Americans can buy,” the group said.

Biden’s EV Mandate Blows Its Cover

Also consider Biden’s EV Mandate Blows Its Cover

Auto makers lauded the Administration for “moderating the pace of EV adoption” in “the next few (very critical) years of the EV transition” while calling its targets “still a stretch.” The Administration has taken auto companies hostage, threatening to cause financial carnage across the industry with its EV mandate. CEOs are grateful for the delay in execution.

EVs made up less than 8% of new auto sales last year, and more than half were Teslas. They accounted for less than 4% of General Motors and Ford sales. Foreign luxury auto makers such as BMW (12.5%), Mercedes (11.4%) and Porsche (10%) will have an easier time meeting the Biden mandates because their affluent customers can more easily afford EVs.

In the Zero Chance Category

Most popular gas-powered pickups emit about 430 grams of CO2 per mile. Under EPA’s final rule, trucks will have to average 184 g/mile in 2027, 128 g/mile in 2030 and 90 g/mile by 2032. Ergo, the companies will effectively have to produce one to two electric trucks for every gas-powered one in 2027. The ratio will be closer to four to one by 2032.

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In the Irony of the Day Category

A new Panasonic EV battery plant in Kansas that will receive billions of dollars in subsidies from the Inflation Reduction Act is forcing a local utility to keep open a coal plant that was scheduled to close. Congratulations, Mr. President, for increasing coal production.

A Note About Running Costs

Fueling up a Ford F-Series truck now costs about $17 per 100 miles on average compared to $17.75 for an F-150 Lightning with mostly home-charging and $26.39 with mostly commercial chargers.

California Electricity Prices

Inquiring minds may be wondering what’s happening to electricity bills in California.

I can help.

Please consider Recent PG&E Bill With Rate Hike Shocks Customers

Sticker shock for some PG&E customers. Even for people who knew the utility was raising rates this year, January bills more than doubled for some.

Rate increases for PG&E customers have piled up in the last year and another could be coming in March. Even some customers doing the math say their bills just don’t add up.

The California Public Utilities Commission (CPUC) approved a rate increase of 13 percent this month and is considering another 7.2 percent hike for March. If approved, PG&E Customers will pay about $48 more a month. TURN is pushing for new legislation that will cap future rate increases.

This year’s rate hikes aren’t the only frustrations TURN has. They say last year the CPUC approved enough rate hikes to increase customer’s bills by 33%

Absurd Proposals by Progressives to Fix a Problem Caused by Progressives

As one might have expected, economic illiterates think a rate cap is the solution.

The only solution is to not cram EVs down everyone’s throat when infrastructure is not remotely in place.

History of PG&E Rate Hikes

• In January of 2023, PG&E raised rates by 8.9%.

• This was preceded by an 8% increase for electricity prices and an 11% increase for gas prices in 2019, and an 8% increase in electricity prices in 2022.

• Overall, PG&E has increased its rates an average of 5.7%-6% year over year for the past 11 years.

• In January of 2023, PG&E announced that customers’ bills could go up as much as 32%, in contrast to the 24% they initially expected.

The above points are from Why is My PG&E Bill So High in 2024 and What Can I Do About It? That link is an infomercial for solar systems but I appreciate the history.

PG&E has other issues like fires and maintenance.

Throw California’s 100% EVs by 2035 into the mix. Who will be able to afford to charge their car? Turn on their air conditioner?

Things That Won’t Happen

• Companies will have to produce one to two electric trucks for every gas-powered one in 2027 to meet EPA goals. No chance.

• Companies will have to produce four electric trucks for every gas-powered one by 2032 to meet EPA goals. No chance.

• 100% EVs by 2035. No Chance

• 75% EVs by 2035. No Chance

Factor in what happens if Trump wins the election. All such goals will be thrown out the window.

If Trump wins, the next chance to force products down people’s throats that they don’t want will be 2028.

In the EU, expect a real shocker in the European Parliament elections in June. I will comment on that shortly. But here’s a hit: It won’t be Green.

EVs Emit More Particulates

Let’s discuss particulates from tires. They are another reason to be skeptical of the clean energy claims for EVs.

On March 3, I noted EVs Emit More Particulates, One of the Most Dangerous Pollutants

The lie of the day is a joint effort from the EPA and the state of California. Both are using rigged tests to get rid of gasoline powered vehicles.

The EPA used rigged tests to make EVs look better when in fact they are much worse.

Here’s the kicker: EVs will burn through tires 20-50% faster and “60% of rubber used in the tire industry is synthetic rubber, produced from petroleum-derived hydrocarbons.”

Biden Promotes Climate Change at the Expense of More Global Poverty

Please note Biden Promotes Climate Change at the Expense of More Global Poverty

The mad rush to deal with climate change, even if it works (it won’t), has a nasty tradeoff (more global poverty).

Sen. Elizabeth Warren is adding Tesla’s Board of Directors to her very, very, very long list of corporations, mergers, acquisitions, billionaires, cryptocurrencies and other people, places or things  she is constantly crowing about to have ‘investigated’ or generally interfered with.

Today it was revealed that Warren is now seeking to find out whether or not Tesla has violated Board Independence regulations and whether or not there have been conflicts of interest between Tesla and Elon Musk’s private companies, according to a Wall Street Journal exclusive. 

Warren sent a letter this week to the Securities and Exchange commission calling for an investigation, the report says. 

“New evidence has emerged in recent months that deepen my concerns that Tesla’s Board lacks independence from Mr. Musk, who uses his control over the Board for his personal benefits, rather than in the best interest of Tesla’s shareholders,” she wrote, according to WSJ. 

“Despite the growing concerns posed by Mr. Musk’s conflicting roles at Tesla and his private companies, the Board appears to have taken no action to address these risks or protect its shareholders,” the letter continues. 

Warren has reiterated her concerns to the SEC more than once, the Journal notes, this time referencing another Wall Street Journal report on the intimate ties between Elon Musk and Tesla’s board.

The report also highlighted that Tesla compensates its directors largely through stock options, leading to significant financial gains for many board members, some of whom have also invested in Musk’s other ventures.

The recent allegations of drug use among board members were noted, though Musk, tested regularly at SpaceX, has reportedly never failed a drug test, WSJ writes. 

Just days ago during Musk’s unceremonious interview with failed journalist Don Lemon, Musk admitted to using ketamine under medical guidance for depression but denied misuse of the drug.

“I can’t really get wasted because I can’t get my work done,” Musk told Lemon. “From a standpoint of Wall Street, what matters is execution.”

Warren also criticized Tesla’s advertising on Musk’s platform, X, and expressed unease over Musk’s aim to hold a significant stake in Tesla for it to lead in AI and robotics, questioning the transparency and independence within Tesla’s governance.

Musk responded to the news on X by astutely noting “Senator Karen’s main economic & tax advisor is SBF’s [Sam Bankman-Fried’s] Dad.”

“I suspect some of this is coming from him,” Musk wrote. 

Senator Karen’s main economic & tax advisor is SBF’s Dad.

I suspect some of this is coming from him. https://t.co/RZAKyEdFYS

— Elon Musk (@elonmusk) March 21, 2024

On Wednesday afternoon, the Biden administration released its “final national pollution standards” for passenger cars, light-duty trucks, and medium-duty vehicles for 2027-32. These are some of the strictest pollution standards ever for automobiles, as the woke climate change cult alleges that ‘greenifying’ the economy is necessary to avert a cataclysmic climate disaster that could wipe out the human race. 

Instead of focusing on the White House’s push for ‘clean vehicles’ (readers already understand this story), we will show just how much the Biden administration hates Elon Musk, the billionaire who owns Tesla Motors and is leading the world’s EV revolution. 

X user Robert Sterling posted an image of the Environmental Protection Agency’s event on Wednesday that featured four vehicles on stage: “1 from GM, 1 from Chrysler, and 2 from Ford.” 

“Here’s how much the Democrats hate Elon Musk,” Sterling wrote on X, pointing out that there were zero Teslas on stage. 

He said, “Last year, Ford sold 72,608 EVs. GM sold 75,883. Chrysler sold 0. Tesla sold 1,808,581.”

Here’s how much the Democrats hate Elon Musk:

For today’s EPA EV announcement, they had 4 cars on stage: 1 from GM, 1 from Chrysler, and 2 from Ford.

But no Teslas.

Last year, Ford sold 72,608 EVs. GM sold 75,883. Chrysler sold 0.

Tesla sold 1,808,581.

What a freaking joke. pic.twitter.com/DtofAPXcRu

— Robert Sterling (@RobertMSterling) March 20, 2024

Musk chimed in on the conversation, saying how “Ridiculous.” 

Ridiculous

— Elon Musk (@elonmusk) March 21, 2024

Meanwhile, Tesla vehicles rank top on the “American-Made Index,” beating out legacy automakers. 

The reason the Biden administration purposely excluded Tesla from the EPA’s event stage could easily be understood given the context that the White House has spent the past year weaponizing federal agencies against the billionaire and his companies, likely stemming from Musk’s ownership of the ‘free speech’ X platform. 

Here’s what X users are saying: 

He just wanted to show off which manufacturers the US gov saved from going under in 2008

— Emmett (@emmettito_) March 21, 2024

it’s fun watching people wake up to the fact their government does hate them. We all have our aha moment.

That lil grandma that says “yall need Jesus” was right!

— Bobby Shell⚡ (@iBobbyShell) March 20, 2024

Tesla leading EV global manufacturers and started at zero not that long ago. Great example of US ingenuity. Should have let Tesla be there to show US can compete. Goes to show Biden focuses more on his reelection than for greater good of US.

— mawit07 ♦️ (@mawit07) March 20, 2024

Defund the EPA

— Girard point (@GirardPoint) March 20, 2024

People are realizing the Biden administration isn’t the party of ‘love’ but the party of hate and anger. 

By Michael Every of Rabobank

Frank analysis, tunes, and quotes

Please see our Fed-watcher Philip Marey’s take on the latest FOMC decision here for a thorough breakdown and forecast update.

In a Frank summary, the FOMC came very close to implying only two 25bp cuts this year, not three; reduced the number of cuts expected further out; their economic projections raised the level of GDP growth, didn’t expect any increase in unemployment, and saw core PCE inflation over target until 2026; and the market initially sold off…. Until FOMC Chair said even if rates wouldn’t go back to zero, there was uncertainty about even that; the Fed would need to pivot fast if unemployment rose sharply; and refused to address the loosening of financial conditions evident to everyone with a pulse. In short, Powell started crooning an old Sinatra tune:

“I like rate cuts in June, how about you? I like Wall Street’s tune, how about you?

I love a buy-side election boom when due; I like buy-all-the-dips, bulls-are-right yacht trips, how about you?

I’m mad about unbalanced books, can’t get my fill; And Bitcoin and gold’s looks give me a thrill

Cutting rates whatever data show; When inflation ain’t low may not be new

But I like it, how about you?”

And markets, and the dollar, swooned as another Sinatra classic immediately came to their minds.

“Fly me to the moon; Let me trade among the stars

Let me see what stonks are like; On Jupiter and Mars

In other words, don’t hold my rates; In other words, Jay, cut them

Fill my trades with song; And let me punt for ever more

You are all I long for; All I worship and adore

In other words, please be true; In other words, Jay, I love you”

On one hand, the Fed might know something grim we don’t. On the other hand, maybe it really is the election coming up, where both polarised US camps are claiming it will be the end of democracy if the other wins: it’s not like central banks and politics aren’t related, for all the pearl-clutching this comment will prompt from some. Anywhere in-between those two hands is also valid as a view – except assuming we are in normal times, with a normal cycle, normal economy, normal markets, and a normal central-bank function: that we ain’t. Not as the US threw in another $8bn for another semi-conductor plant, in the latest tranche of mercantilism-lite, while the Congressional Budget Office says US public debt is only going one way: up.

So, maybe Powell was singing ‘My Way’, not in defiance as much as a tired resignation on the eventual way out the door; a man who did his best and is happy to be handing this hot mess over to whomever gets the short straw next.

Meanwhile, underlining that this is a global central-bank issue spanning Oceans 11, Australia just saw its composite PMIs at 11-month highs and +116.5K mostly full-time jobs added, taking the unemployment rate -0.4ppts to 3.7% to make an absolute mockery of the RBA’s recent shift from a mild tightening bias, and its claim that rates are “slightly restrictive”.

By contrast, neighbouring New Zealand is officially back in recession again even though inflation there is also not defeated either: so, do they cut anyway, or force the economy to suffer more?

Next up today will be the BOE, who have the latest slightly better set of inflation data as a fig leaf for whatever they opt to say; but also the backdrop of a speech from the almost-certain next Chancellor of the Exchequer (according to polls) quoting Joan Robinson and Karl Polanyi –my kind of mood music– and saying the next Labour government will embrace industrial policy to ensure a boom in investment spending (with no cuts in consumer spending), which will be inflationary before it is eventually deflationary.

Frankly –or Sinatra-ly– central banks can twinkle their pretty blue eyes at markets, who will fall for it, or threaten them with their ‘legitimate businessmen’ connections when talking tough, but at the end of the day, it won’t matter if stonks, Bitcoin, gold, house prices, and commodity prices —particularly oil (up 12.3% year-to-date, and 3.4% this month)– say that what monetary policy is doing is actually their way.

Goldman: “Our interpretation is that Chair Powell and a narrow majority of the Committee feel strongly about not delaying cuts for too long and are targeting the June FOMC meeting for the first cut”

keep a very close eye on oil

— zerohedge (@zerohedge) March 21, 2024

Because then inflation will be going its way, and it won’t be down to 2% again, which is the central bank way. America’s geopolitical rivals will all be going their way with a spring in their stride, and it won’t be in the direction of the US dollar system, perhaps.

Indeed, “I’m gonna live till I die,” another Frank quote, may work well for stonks and those forced to buy them by the motivations and deprivations of neoliberalism, but it doesn’t for the supposed adults in the room, central banks.

Personally, that backdrop leaves me thinking of another Frank quote: “Basically, I’m for anything that gets you through the night – be it prayer, tranquilizers, or a bottle of Jack Daniels.” I may need all three simultaneously.

Existing home sales soared a stunning 9.5% MoM in February, smashing the expectation of a 1.3% decline and building on the 3.1% MoM in January. However, even with the big monthlyu jump, existing home sales remain down 3.3% YoY…

Source: Bloomberg

Total existing home sales SAAR surged to 4.38mm – a 12 month high…

Source: Bloomberg

Homeowners may be accepting that mortgage rates are settling into a new normal and can’t delay moving any longer, NAR Chief Economist Lawrence Yun said on a call with reporters.

“Additional housing supply is helping to satisfy market demand,” Yun said in a statement.

“Housing demand has been on a steady rise due to population and job growth, though the actual timing of purchases will be determined by prevailing mortgage rates and wider inventory choices.”

With a 2-month lag, we can see why existing home sales may have risen, but with mortgage rates rising since then, we suspect the fun and games may come to an end again soon (even if the NAR economist thinks otherwise)…

The number of previously owned homes for sale climbed to about 1.07 million last month, and Yun said he expects that will continue to go up. At the current sales pace, selling all the properties on the market would take 2.9 months, the lowest in about a year.

Realtors see anything below five months of supply as indicative of a tight market.

Even with greater inventory, strong demand put upward pressure on prices. The median selling price advanced 5.7% to $384,500 from a year ago, the highest for any February in data back to 1999.

Sales rose in three of four regions, led by a 16.4% surge in the West

First-time buyers made up 26% of purchases in February, matching the lowest on record.

The Biden DOJ is preparing to announce a lawsuit against Apple on Thursday, according to Bloomberg, citing two insiders.

According to the report, Apple will be accused of violating antitrust laws by blocking rivals from accessing hardware and software features on iPhones, as well as other alleged ‘breaches. ‘

The suit is expected to be filed in federal court in New Jersey – a sharp escalation of the Biden administration’s antitrust fights against US technology titans. The administration is already suing Alphabet’s Google for monopolization, while Meta and Amazon are in the crosshairs of the Federal Trade Commission over accusations of antitrust behavior.

The upcoming case will mark the third time the DOJ has sued Apple over the past 14 years, all for antitrust violations. It’s the first case, however, of accusing the iPhone maker of illegally maintaining its dominant position.

The lawsuit comes as Apple also is coming under increasing scrutiny in Europe over alleged anticompetitive behavior. The company was hit with a €1.8 billion fine this month for shutting out music streaming rivals from offering cheaper deals. Apple is appealing the penalty and has said that regulators failed to uncover any “credible evidence of consumer harm.”

Meanwhile, the company may face a full-blown investigation under the EU’s new rules for Big Tech — the Digital Markets Act — which went into force earlier this month. Rivals have dinged new App Store rules that came into effect in Europe, complaining that changes are likely to result in higher prices for developers. Penalties for failing to comply with the EU’s new rules can be severe — as much as 10% of a company’s annual worldwide revenue or up to 20% for repeat offenders. -Bloomberg

The latest case began in 2019, however the DOJ chose to instead prioritize two cases against Google, in order to allow a case by Fortnite maker Epic Games work its way through the courts.

According to Wedbush, Apple will eventually have to find a way to settle this case. The bank, which as a $250 price target on Apple, believes that while the DOJ lawsuit won’t change Apple’s business model for now. Instead, a hefty fine and some compromise with developers is ultimate in the works.

Here’s what other Wall Street analysts are saying (list courtesy of Bloomberg): 

Citi (buy, PT $220)

• “Regulatory risk is a key overhang for Apple with multiple antitrust cases around its rising Services business and pushbacks on its recently announced changes on App Store rules”
• AI will be the next catalyst for Apple shares

Mizuho Securities

• “This is just one in a long list of issues hanging over the stock,” writes Daniel O’Regan, a managing director of equity trading

Vital Knowledge

• “This is obviously bad news, but it’s not surprising,” and “a DOJ lawsuit is just one in a long list of issues hanging over the stock”

Trade accordingly…

S&P Global’s US Manufacturing PMI surged to its highest in 22 months (52.5 vs 51.8 exp) while Services PMI disappointed, sliding for the second month in a row to 51.7 (vs 52.0 exp)…

Source: Bloomberg

Commenting on the data, Chris Williamson, Chief Business Economist at S&P Global Market Intelligence said:

“Further expansions of both manufacturing and service sector output in March helped close off the US economy’s strongest quarter since the second quarter of last year. The survey data point to another quarter of robust GDP growth accompanied by sustained hiring as companies continue to report new order growth.

“The brightest news came from the manufacturing sector, where production is now growing at the fastest rate since May 2022. Production gains are linked to improving demand for goods both at home and abroad, driving a further upturn in business confidence in the outlook.

“Service providers meanwhile reported a slower pace of expansion than factories, with the rate of increase also moderating slightly compared to February, linked in part to ongoing cost of living pressures. However, service providers have also become increasingly optimistic about the outlook, with confidence striking a 22-month high in March to suggest the broad-based economic expansion seen in March will persist into the summer. “

However, it was not all rainbows and unicorns as inflation is starting to show up again:

“A steepening rise in costs, combined with strengthened pricing power amid the recent upturn in demand, meant inflationary pressures gathered pace again in March. Costs have increased on the back of further wage growth and rising fuel prices, pushing overall selling price inflation for goods and services up to its highest for nearly a year.

The steep jump in prices from the recent low seen in January hints at unwelcome upward pressure on consumer prices in the coming months.”

Not what Powell and his dovish pals wanted to see.

Authored by Steve Watson via Modernity.news,

The company that operates trains at Kings Cross station in London has removed Islamic messages on information boards about “sinners” who must “repent” after a massive backlash.

As we highlighted yesterday, Network Rail was pairing big board announcements of train delays and cancellations with Islamic hadiths to mark Ramadan, the religious holy month.

Following a huge amount of complaints, a Network Rail spokesperson commented “We value the feedback of our passengers and while these messages were intended to celebrate the beliefs and backgrounds of some of our colleagues and passengers, we have removed them.”

The statement continued, “Over recent years, King’s Cross has celebrated significant religious and secular events from all cultures including Easter, Diwali, Passover, Ramadan, and Remembrance Day, however we will now review how occasions can be marked in the future.”

Network Rail removes Islamic message on King’s Cross display boards after fierce criticismhttps://t.co/bRbmFy2g08

— GB News (@GBNEWS) March 19, 2024

Speaking to GB News, Stephen Evans, chief executive of the National Secular Society, said  “At best it’s a well-meaning yet misguided and counterproductive attempt at inclusivity.”

“Such gestures suggest favouritism, generating resentment and the inevitable demands from other religious or identity groups for equal recognition,” Evans added.

“Religious messages like this undermine the principle of neutrality. Maintaining such neutrality in public spaces and services is the best way of nurturing a fair and inclusive society that respects all individuals, regardless of their beliefs or backgrounds,” he further urged.

The development comes as central London has been adorned with extensive Ramadan decorations, with no such decorations being planned for Lent or any other Christian feasts, despite Britain being a majority Christian country.

“Lights and decorations have been set up around Picadilly Circus in London, United Kingdom for the first time, to celebrate the arrival of Ramadan.” pic.twitter.com/0HgoxLDCBs

— • (@Al__Quraan) March 19, 2023

London Mayor and Ramadan decorations pic.twitter.com/bVecqy9xrP

— Syeda Yasmeen Ali (@yasmeen_9) March 22, 2023

Ramadan lights and decorations including the Islamic Star and Crescent have been placed all the way down London’s busiest shopping street, Oxford Street, to mark the Ramadan Islamic holy month.

Only 6.5% of people in the UK are Muslim. pic.twitter.com/re1Iza4EmZ

— Oli London (@OliLondonTV) March 1, 2024

Network Rail continually engages in such virtue signalling gestures. As we previously highlighted, London Bridge rail station turned an entire column within the building into a ‘Pride’ display in February to celebrate ‘LGBT+ History Month’.

The display contained transgender and intersex flags that many pointed out are actively hostile to the rights of women and gay people.

It also transpired that the employee who oversaw the installation has a long history of posting offensive anti-women comments and material making light of child sexual abuse on social media.

Others simply requested that Network Rail focus solely on making trains run on time, rather than engaging in cultural indoctrination.

* * *

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The Swiss National Bank (SNB) announced a surprise cut to interest rates on Thursday in a sign of policymakers’ confidence over falling inflation.

The SNB cut its key interest rate by 25bps to 1.50%, acting months before global peers may follow suit as policymakers try to prevent gains in the franc… and sure enough the franc tumbled…

While the move was a surprise, banks including Barclays and Citigroup had been preparing for a cut.

Meanwhile, CFTC positioning data show leveraged funds, which include hedge funds, boosted their bets for a weaker franc to their biggest in a year last week.

The SNB summed the decision up thus:

“The easing of monetary policy has been made possible because the fight against inflation over the past two and a half years has been effective.

For some months now, inflation has been back below 2 per cent and thus in the range the SNB equates with price stability.

According to our new forecast, inflation is also likely to remain in this range over the next few years. With our decision, we are taking into account the reduced inflationary pressure as well as the appreciation of the Swiss franc in real terms over the past year.”

And indeed it has…

As Bloomberg notes, the SNB has long been unafraid to jolt investors with abrupt action, and this cut adds another chapter to that history.

Previous instances include its 2015 abandonment of the cap on the franc, and its surprise 50 basis-point hike in borrowing costs in 2022.

Some significant changes to the SNB statement:

The SNB “has used its leeway to support economic development by cutting interest rates early on,” said Raiffeisen Switzerland economist Alexander Koch.

“However, the comparatively moderate level of interest rates, together with the robust economy, means that no overly aggressive easing should be expected in the further course of the year.”

To which Bloomberg’s Ven Ram adds, the markets shouldn’t assume that the Swiss National Bank’s surprise interest rate cut means:

a) that it can afford to keep delivering successive cuts and,

b) that other central banks will follow quickly in tow.

In a statement accompanying its rate-cut decision, the SNB lowered its inflation forecast to 1.4% by the end of the year from 1.9%. With its policy rate already cut to 1.50%, that means that the scope for additional easing isn’t that great unless the SNB doesn’t mind putting up with a negative real policy rate. Of course, inflation in February was already just 1.2% and if successive prints prove even mellower, more cuts could follow — but that outlook wouldn’t be compatible going purely by the SNB’s inflation forecast.
 
A key point to remember is that inflation in Switzerland has averaged just above 1% in the first two months of the year — and there is hardly any other major economy where price pressures are as docile.

As the chart shows, inflation is running neck and neck with the policy rate in Norway, which is why the central bank there held rates today – and won’t be in a position to cut for a long time yet. Central bank policy rates adjusted for inflation are the highest in the US and Canada among the major economies, suggesting that policymakers there have the biggest scope to deliver successive rate cuts.
 
In the euro zone, the European Central Bank is sitting on a real policy rate of some 140 basis points. While that suggests it has room to start being less restrictive, it’s not a given that it can deliver a series of rate cuts without imperiling that real-rate cushion. This is the reason why President Christine Lagarde sounded a note of caution on pre-committing to successive rate cuts on Wednesday.

Perhaps the central bank that faces the biggest challenge is the Bank of England. While headline inflation has slowed considerably, services inflation — which tends to have a ripple-through into the wider economy — has remained above 6%, making policymakers wary.
 
Clearly, when it comes to embarking on rate cuts, not all central bankers are in the same position as the SNB, and that will mean that rates traders will have to calibrate their enthusiasm of what is to follow from Switzerland.