In this week’s recap, the US markets and a big part of the international markets recovered gains, with strong news that will affect the next few weeks, specifically more aggressive Fed interest hikes. Also, the Fed says servers will be online by 2023 for the new “Government Coin,” a digital version of the dollar: “Rapid changes are taking place in the global monetary system that may affect the international role of the dollar.” A US central bank digital currency is being examined to “help the US dollar’s international standing”.Dogecoin jumped +10%, while Bitcoin lost 50% of its value in 2 weeks.
The National Association of Realtors said Tuesday US existing home sales fell for the 4th consecutive month, dropping-3.4% in May. May’s existing sales were down -8.6% on an annual basis. This brings existing home sales in the United States back to 2019 levels, despite the fact that prices have risen to a record high, surpassing the $400K mark for the first time as mortgage rates have risen further.remains fairly hot, with properties staying on the market for a record low of 16 days.
The Russian govt. summons the EU’s ambassador in Moscow, angry over a rail blockade that halted shipments of many basic goods. The Russian enclave on the Baltic Sea known as Kaliningrad (the former German territory of Konigsberg) Russia warned Lithuania of serious consequences after it banned the rail transfer of some goods. The EU sanctions list includes coal, metals, construction materials and technology. Russia claims the ban will cover 50% of the items that Kaliningrad imports.
China’s shipments of cars rebounded in May; South Korea’s 2nd test launch of its domestically produced Nuri rocket successfully placed a satellite in orbit; Over 100 million people in the United States are under heat warnings and are advised to stay indoors; rainfall in some areas of southern China is the heaviest in 60 years; the Colombian army releases images of one of the world’s most valuable shipwrecks; and Sri Lanka gives government workers Fridays off to farm in order to alleviate a food shortage. Russia has surpassed Saudi Arabia as China’s largest oil supplier. Macron has an absolute majority in France; Petro is the new elected president of Colombia.