 and as we do every wednesday at forty past the hour let's jump over to our man teddy cakes that folks you can read teddy's tiger forex report every monday he puts out a new issue he's got updates throughout the week when warranted you can check it out under the newsletter tab at tfnn it's only ninety seven dollars folks it comes with thirty-day money back guarantee yet to archive webinars they go in there as well as part of the membership and yet we got some action as usual uh... on wednesday teddy cakes that good morning good morning tommy yes we have some action today boy uh... little bit of a pullback from the market highs that we saw earlier in the week teddy we just gave up about ninety points in the s and p markets continuing to drop off about six tenths percent we got a lot going on across the globe though as well uh... in terms of markets lower in europe we got some action in the dollar index that's an action crude catching a little bit of a bit where do you want to kick things off this morning uh... i think the european european vibration is something we should definitely address is that it definitely impacts the uh... affects markets let's do it man okay well we have the cp i they came out in the uh... u k today that was uh... way above forecast so i'm really surprised that it's not catching as much news that our own market reaction uh... over here's yet yet yet and i'm too stressy yet uh... it definitely has impacted the foreign markets there their equity markets uh... the british pound i'm bearish going into this week to begin with and throughout the next like week and a half uh... i'm surprised that this number didn't cause more volatility on the least for a couple of hours at least uh... it's very surprising to me you know so i mean the only currency right now that's strong against the dollar today is the euro whereas actually the dollar is caught us quite a bit and when it comes to a lot like currencies like the australian dollar to new zealand dollars getting smashed today and irony of it all the u.s. dollar canada which has been in is that sloppy range trade today and explosive move you know so there's it's very interesting to me when you have some of your and lesser major affects crosses that are excuse me so volatile and active whereas you have the pound which is the third largest currency in the dollar index and it's kind of a tight trade today you know which is doesn't make any sense to me and when it comes to that but i think we have to be aware of the cpi there that inflation is not going away in europe and that's going to uh... the i think i'm ringing bell throughout the summer and that's going to be something we have to address with our u.s. fed as well yes pretty remarkable man i was looking at those numbers this morning and i was thinking of you of course known we talk on wednesday's and the numbers folks okay so u k inflation fell to from from ten point one to eight point seven percent you talk about eight point seven percent the market was looking for eight point two though and on a month by month basis today was one point two percent verses point eight percent uh... core cpi rose to six point eight percent from six point two percent it seems like there are all the difference away from where we are right now who knows because you've been talking about the you're looking for some more hikes man and we get a lot of numbers as we come into the end of may the early part of june with three weeks out for a fed hike today but if you can explain the listeners teddy because i know you know we're talking about other central banks you've talked to us about when of course they're going to be hiking that's going to impact their yields our yields when you see something like this now we know that anything can happen in our economy and i think a lot of people at least recognize that we got a long way to go maybe we're on the path but boy things might be a little rocky with that type of a number in the u k and you see i was pulling up as you were talking about in terms of the pound and everything like that how do you see that for their fed because of course it talks about in just any random article you talking about the yeah they might not be done hiking man if if they're still dealing with rising inflation is that going to really put the pressure even more so on our federal reserve how do you how do you relate that back to our fed when you see numbers like the u k in the u k is the pound it's not maybe as big as the euro but how do you see that affecting you know chairman powell maybe three weeks from today if they know that they're going to be competing the u k that now has core c p i rising to six point eight percent from six point two sure sure well c p i's rising in uh... in the u k that means that across the still our trade partners with the e u that means you're gonna have inflation does not just in the u k it's going to impact the u now combined between the u k in the e u we still do import a lot of products from those countries so if there's inflation in those countries that means is in the inflation in our imports okay so that's going to mean that there's gonna be a tug of war definitely i think between our fed in the bank of england whereas if you know now we are probably not going to let's say that the bank of england raises a half a point we're not going to tell you with a half a point just to counteract them remember we're ahead of the curve on this okay so but definitely if that the more or the longer we see any rate hikes or especially larger rate rate hikes by um... you know countries such as the u k or i think or even out of the e u free to take a bit of that and so their central bank would have you then i think you're gonna see more stress on our fed to yes continue to raise a quarter of a point you know now i think that they are not running out of bullets and are going to be able to do what we've done over the past year and a half but then we still have inflation here you know so i mean until we see and we have i think the uh... uh... jobless claims tomorrow remember we're coming into holiday markets you know we have jobless claims tomorrow and then we have a three-day weekend before we have unemployment next week you know we have some big numbers that come out before the fed meeting and right now i don't think unemployment is going to be where they want it you know remember they want high unemployment and some of those numbers are starting to be reflective there but then there's other things that i mean we have the unemployment is not breaking the way they want it to they want they want to hire unemployment and for some reason we still have lots of job growth in lots of areas in this country you know so that's twisting them their narrative apart so unless they start to drop the employment factor of the equation a quarter point hike i can't see how that's not going to happen and i think that's gonna weigh on yields as well because you know if you look at where we're at the treasury bonds and treasury notes are still trading a lot higher than they were back in the october of last year and that's what i mean how many rate hikes have we had since then you know is if you look at the the rubber band effect rate alone should have you know yields explode over the next few months yeah there's so much volatility man in terms of unknowns that were coming into what do you think about the whole debt conversation going on and how that's impacting things um... it's kind of the usual antics in washington in terms of disagreements they're talking about spending cuts of course they're talking about spending cuts man um... what do you think about that in terms of because obviously when you're talking about yields de-factor that into how you're looking at things over the next few weeks because you just said it man i mean we got thursday's tomorrow friday is before long weekend i imagine that people will be trying to leave their desks a little bit early and then boy we come back man and you know a week from tomorrow is june first just like that we're into the mix of kind of critical time frame of that debt limit sure sure well though you know the whole conversation like you said is nothing new on both sides uh... i think the biggest problem is is that you know look at how much debt we've tacked on in just the last year and a half uh... we we cannot be running where we have the spending packages of multi trillions of dollars i mean people think of people are numb to the word trillion um... i don't know because they don't understand math a trillion dollars is still truly a lot of money you know and especially when you can straight you know put a stranglehold on the economy by force you know for two years you know i mean and now you look at inflation taxation running out of muck you know like you you you have to have some sensibilities here so maybe you don't use spending cuts but then you have to put a mandate that there can be no multi trillion dollar packages under any reason unless it's for defense you know for a country period for for america for at least a year or two i mean it's become common now that every six months they're like oh we need another two trillion dollars for these new programs and things titty hang with us one more segment alright i want to go over the dollar index when we get back to know he loves that we'll be right back folks they do come back with a welcome back folks we have the s&p's down about thirty three points uh... no lift on the open right now eight tenths percent the red and folks we're talking on that it takes that you got a few minutes and over to the front page tfn and right on the newsletter tab you'll see teddy's tiger forks report you can check it out it's ninety seven dollars and today i want to check out the dollar index and i know you do such a great job of giving us the information of the individual pairs and how there's divergences going on which i think is so cool which is why people should really check out your report to understand because so often we just look at the dollar index it's really easy you know a lot of euro in their pound uh... but you do a great job of breaking down the individual pairs but a lot of people of that dollar index man and we've gotten quite a spike up to one of three sixty one right now what do you think about the dollar index at this price level after quite a little bit of a lift here uh... well it's definitely had a nice little pause here where it was buffering on these new highs now because we're coming to a holiday market especially this is typically when you start to see a lot of sideways action because the markets to start to get them you know i mean that we've hit good resistance can we go higher yeah but i think that's really indicative of if the euro actually euro is dollar goes lower right now because you can see how all the currency pairs right now today are down versus the dollar only the euro is up you know so i mean that's how much of an influence it has and like i said in the last segment i mean look at the new zealand dollar today i mean it's getting hammered you know i mean the australian dollars really getting hit you know on a daily basis you know so when you see that momentum you can see that their strength in the dollar index and a lot of that has to do with yields you know i mean even though yields are slightly lower they were before we started their last segment you know i mean overall they're strong and they should continue to get strong you know and i think that will be one of the biggest fundamental supports for the dollar index so any break in the dollar index i see over the next not just days but over the next few weeks in a couple months is a break to buy i think you know we found a lot of support in the dollar yeah everyone keeps talking about the bricks and all this stuff like yeah you know what the dollar eventually will turn eventually the world will come to an end a lot of eventually a lot of things will happen but right now i wouldn't get too you know worried about it pretty remarkable risk-free return right ten year three point seven percent not bad not bad with everything going on titty i appreciate the time as always man i look forward to talking to you next week man thanks you guys have a good half a day weekend man