Newsletter Jul 13, 2021

Inflation remains the biggest risk to the U.S. economic recovery, but investors are showing no fears even as consumers are feeling the pinch.

3 things you must know

Markets reach record highs despite fears over inflation
If investors are getting nervous about today's announcement about the latest inflationary indicators, they didn't show it Monday as Wall Street closed with another record high. All three major U.S. indices finished at records as buyers displayed optimism about the recovery.
The record-high hat trick comes as the Consumer Price Index and other data are projected to show higher-than-expected figures on inflation -- around 3.4% instead of the Federal Reserve's 2% target. However, The Fed's steadfastness on fiscal policy -- bond-buying, near-zero interest rates and all-the-economy-can-eat stimulus appear to be alleviating fears about out-of-control inflation rates.
SEE HOW CONSUMERS ARE ALREADY PAYING A BIG PRICE

Wildfires threaten economic and environmental interests
The scorching heat and raging wildfires engulfing the western U.S. and Canada are more than just ongoing environmental catastrophes. They also threaten the economic health of both nations as drought conditions plague power lines, industrial centers, the cultivation of crops, and access to the natural resources needed to fully feed and fuel their national economies and much of the rest of the world.
More than 1 million acres were officially considered ablaze Monday as the worsening heat wave and water shortages made it difficult for firefighters to gain control of the multiple fires. Forecasts for higher winds and little rain leave officials facing another record-breaking and heartbreaking wildfire season that is becoming all-too common.
SEE ONE UNUSUAL PLAN TO FIGHT WILDFIRES WITH GOATS

Tesla among modern carmakers facing age-old problem -- rats
Elon Musk's Tesla electric vehicle operation utilizes some of the latest cutting-edge technology to revolutionize the driving experience. But for all the cars' modern gadgetry and space-age technology, they can be easily disabled by tiny creatures -- rodents.
Tesla is the latest automaker to draw complaints from customers about their high-priced rides being shut down by rats gnawing on the soybean oil-coated wires. Using soybean oil instead of traditional oil for environmental reasons, carmakers are inviting a new set of problems -- ones that crawl into the engine and snack on the soy. Tesla isn't offering up any refunds and some customers smell a rat.
SEE WHAT EXPERTS RECOMMEND TO KEEP THE RATS AWAY

Markets

DJIA	34,996.18	0.36%
S&P 500	4,384.63	0.35%
Nasdaq Composite	14,733.24	0.21%
Japan: Nikkei 225	28,776.81	0.73%
UK: FTSE 100	7,125.42	0.05%
Crude Oil Futures	74.23	0.18%
Gold Futures	1,809.00	0.17%
Yen	110.35	-0.02%
Euro	1.19	0.03%
* As of market close

Biden deals with double trouble in Caribbean

As if President Joe Biden didn't already have enough on his plate with ongoing conflicts with China, Russia, Afghanistan and other countries all over the world, he suddenly has a pair of problems just off the U.S. coast as Cuba and Haiti are dealing with political upheaval and public uprisings.

Last week's assassination of Haitian President Jovenel MoÃ¯se became more complicated Monday with the arrest of a third American -- a Florida doctor who may be the leader of the plot. Just across the Caribbean Sea, Cubans are taking to the streets in protest of food, work and vaccine shortages in the most widespread unrest since the communist revolution. Biden voiced support for the people of both nations, asking them to unite.

FIND OUT WHY BOTH GOVERNMENTS ARE BLAMING THE U.S.

Texas Dems flee state to stall voting bill

If you can't beat 'em, leave 'em. That's the political strategy being employed by Texas Democrats in a last-ditch effort to prevent the Lone Star State from passing restrictive new voting laws. Outnumbered but not counted out yet, Dems fled Texas to deny Republicans a required quorum.

â€œToday, Texas House Democrats stand united in our decision to break quorum and refuse the Republican-led legislature (to) force through dangerous legislation that would trample on Texans freedom to vote," Dems said in a statement. But they can't stay away forever as the stall tactic is mainly for show until the issue comes before the federal courts.

FIND OUT HOW TEXAS DEMS PLAN TO DE FACTO KILL THE BILL

Branson's space flight par for his risky course

Some were surprised to hear that 71-year-old Richard Branson would embark on such a risky mission to the edge of space in his Virgin Galactic spacecraft over the weekend. But those who know him best and have followed his daredevil antics of the past know his flight was just the latest in his long life of death-defying stunts with a devil-may care sensibilities.

Long before the British billionaire strapped himself in a space capsule and hurled himself to the brink of outer space, Branson has survived several close calls with gravity. Perhaps the only thing more surprising than his blast off and return Sunday is the fact that he was still alive to pull it off.

SEE HOW BRANSON'S COMPANY STOCK PRICE ALSO TOOK A FALL