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The single best idea is we get ready for the FED meeting this afternoon. Francis Donald on fire today with the RBC Capital Markets. She made clear, Boy did she state a case why are we cutting interest rates?
Tom? If I woke up this morning and I'd been in a coma and all I had was the data, I would think, well, this Federal Reserve must be neutral or hawkish heading into this period. They are in an environment where inflation has been above target for fifty five months. The unemployment rate is extraordinarily tight. In fact, there's only two times in history going back to the nineteen seventies, when the unemployment rate has been this tight. What happened
to the concept of normalizing and growth is fine? So what I want to hear from Chair Powell today is why are you.
Cutting Francis Donald their RBC Capital After that conversation we had the ECI. I really lean on this. It's the Employment Cost Index and it's a blended study of wages and benefits. It's different than all the other wage series. Some people believe in it, some people don't. I look at the year over year of the view from sixty thousand feet and the answer is from the high wage and benefit gains that we saw out of COVID, we're coming down, but we're not back down yet to normal.
You really wonder if wages and benefits get down, how that would change some of the ideas. Like we just heard from Ms Donald on Netflix in update Robert Fishman definitive at Maffatt Nathanson here on mister Robert's company.
Well, you think about who the natural dance partners are. It was Comcast and it still is, Paramount Skuydance now after the Skuydance deal, and Warner Brothers Discovery. Those three are the most natural players because they're all so scale in streaming. So when thinking about how to solve that streaming scale issue from a global basis, it's just natural to think that you need to see some combination of those players. And so that's essentially what's playing out in
front of us. Paramount Skuidance needs these assets in order to accelerate the timing to reach the scale that they're desiring on a global scale basis for Paramount Plus.
So yes, we.
Very much think that the combination with Paramount Skiddance is a must.
Have Robert Fisherman from Moffatt Nathansen as well. We're on podcasts on Apple and Spotify, on YouTube podcasts, it's single best idea