● Capitalism: A Global History
Sven Beckert
Review via The New Yorker
Beckert explores “two contradictory narratives”: capitalism can be seen as a catalyst for improved living standards and longevity, or it can be condemned as an “insatiable demon.” He addresses the “profound frustration that many of the narratives surrounding capitalism are often incomplete or even misleading.” Beckert encourages readers to examine capitalism “with awe and curiosity — not because it’s strictly ‘good’ or ‘bad’ but due to its profound ability to shape the world, and its significance in understanding our collective future.” However, as Beckert nears the conclusion of his extensive eleven-hundred-page examination, he reveals a deeper resignation: everything has been mercilessly commodified, “even human reproduction.”
The Capital Spectator is embracing the holiday spirit and taking a break from the regular routine. Normal content will resume on Monday, December 1. Cheers!
Recent comments from Federal Reserve officials have swayed investor sentiment regarding expectations for an upcoming rate cut, shifting the mood back towards a more dovish outlook.
On Monday, Fed Governor Christopher Waller expressed his support for cutting interest rates at the Fed’s policy meeting on December 10. Since the previous meeting, he pointed out, “most private sector data and anecdotal evidence show that little has changed. The labor market is softening and continues to weaken,” he noted. On that same day, the 10-year Treasury yield fell to 4.03%, marking its lowest point for the month.
The delayed GDP report for the third quarter is expected to be released eventually, but at this point, it feels like ancient history. Current attention is shifting to various indicators from October and November. Although a consensus continues to form, the prevailing thought is that the risk of recession appears minimal thus far in Q4.
Business activity in the US saw a boost for the second consecutive month in November, as indicated by the US Composite PMI Output Index, a GDP proxy based on surveys. “This upturn is encouragingly broad-based, with growth reported in both manufacturing and the extensive services sector,” stated Chris Williamson, the chief business economist at S&P Global Market Intelligence. “The significant growth in business confidence about future prospects adds to the positive outlook.”
● Company Men: The Invention of Shareholder Value and the Splintering of the American Economy
Sean Delehanty
Summary via publisher (Chicago U. Press)
This book chronicles how a niche economic theory—and its devout advocates—forever changed the landscape. In today’s economy, stock price reigns supreme. Company value is gauged by its ability to enrich shareholders, even if that detracts from long-term growth or societal benefits. Over the past fifty years, corporate greed has flourished. “Company Men” offers a sweeping intellectual history detailing the ascent of shareholder value from obscurity to a dominant force in corporate practice.
The release of the monthly payrolls report brought some encouraging news yesterday, as non-farm payrolls increased more than anticipated in September. The data indicates that the US economy concluded the third quarter with a degree of robustness. However, a closer examination reveals lingering weaknesses, raising concerns about the economy’s future resilience.
According to the delayed report from the Labor Department, US payrolls saw a rebound in September. Non-farm payrolls rose by 119,000, exceeding the Bloomberg consensus estimate of 53,000; August’s payrolls were revised down to a minor contraction of 4,000 from the previous gain of 22,000. Job growth remains concentrated in select sectors, with healthcare, social assistance, and leisure & hospitality accounting for 87% of September’s job increases.
Earlier this week, we explored: Is Wall Street beginning to reconsider its inflation expectations? The Federal Reserve adds to the intrigue — minutes from the October 28–29 meeting reveal mounting skepticism toward further rate cuts.
In conclusion, the articles collectively highlight significant developments in the economic landscape, including insights on capitalism, the Federal Reserve’s decisions on interest rates, business activity trends, and labor market dynamics. Each piece presents a unique perspective on the current state of the economy, encouraging readers to stay informed as they navigate a complex financial environment.
