Bloomberg Audio Studios, podcasts, radio news. Single best idea is, if you're in the equity market, follow bonds. You learn this always the hard way by enjoying losing money. It's an inverse relationship. Price up, yield down, price down, yield up, and this morning, decidedly it was price up, yield down. There was some real tension in the market in the five six seven am hour. It got a little bit better, but frankly, as the market's open as we tape this
not so nice out there, we'll have to see. We had some good voices to talk to. The first one we talked to was Holger Schmeting, just definitive at Berenberg Bank, with a wonderful Transatlantic perspective. Holger Schmeting on tariffs.
Of course, the US tariffs are not yet fully reflected in US consumer prices. There is some further upward pressure on US consumer prices to come. Also, many raw materials are telling a very different story, namely that global inflation pressures will stay a little elevated or could rise over time, and longer term simply labor shortages on both sides of the Atlantic, and also longer term in China labor shortages will probably mean in the end the rebound in wage pressures,
perhaps not immediately, but say next year and thereafter. So I would not bet too much on global disinflation.
Olger Schmieding of Berenberg Bank. This morning, Dan Skelley joined us, So Morgan Stanley Wealth Management, really really interesting discussion here about the allocation now, but particularly about the stress of AI.
Let's listen number one. I think it's one of these many examples of dissonance at the moment. On the one hand, the market is fearful over AI spending. On the other hand, of the market saying software is going to be disrupted. So I can't explain that one in terms of efficacy versus is disruption. And look, I would say not all software, not to be that completely out of consensus, but not all software is created equal.
Dan Skelle here in a four day workweekis with Morgan Stanley as well PCE inflation the back end of the week, Michael McKee saying that's a key key economic data point for maybe a fed on pause. We will see. We'll have all in economics, finance, investment, and international relations for you through this week on podcasts. On Apple, on Spotify, on YouTube podcasts. It's single best idea