👏 The Fed finally takes action

Just what the US didn't ask for | The UK goes back to the 90s | [TOGETHER WITH]( Hi {NAME}, here's what you need to know for December 16th in 3:10 minutes. ☕️ Finimized over an oat flat white at [Café Blá]( in Munich, Germany (🌥 3°C/37°F) Today's big stories - US retail sales rose by less than expected last month - Saxo has laid out a bunch of “outrageous” predictions for 2022, and you won’t believe what happened next… – [Read Now]( - UK inflation rose to its highest level in a decade last month We Thrifty Kings [We Thrifty Kings] What’s Going On Here? Data out on Wednesday [showed]( US retail sales rose at their slowest in four months in November, as the country’s shoppers realize there’s only so generous they can be this Christmas… What Does This Mean? US retail sales were just 0.3% higher in November than they were the month before, falling short of the 0.8% investors were expecting. And while electronics and appliances sales dropped 4.6%, this wasn’t just a matter of one player letting the side down: five of the 13 of retail categories sold less in November than October. Sure, that might be because Americans did their holiday shopping ahead of time in a bid to outmaneuver supply chain shortages. But a grimmer theory is that shoppers are being put off by soaring consumer prices, which might become even more pronounced early next year when more government support programs – including the freeze on student loan payments – grind to halt. Why Should I Care? The bigger picture: The Fed’s stepping up. Consumer spending accounts for more than two-thirds of the US economy, which means this drop-off could have a big impact on the country’s economic growth. That might be why the Federal Reserve (the Fed) is finally calling time on inflation: the central bank announced on Wednesday that it’ll be winding down its bond-buying program twice as fast as it originally planned. That should push up the cost of borrowing, deter spending, and, ultimately, cool down rising prices. For you personally: Time for change. The Fed’s said it won’t hike interest rates until it’s no longer buying any bonds, so Wednesday’s announcement suggests this hike will happen sooner than expected too. And it could be the first of many: Fed officials are now hinting at as many as three rate rises next year, which could be a reason to rotate away from tech stocks – which perform worse in high-interest environments – and into those that are less affected, like [consumer staples](. You might also like: [How interest rates influence all your investments.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=We Thrifty Kings&utm_campaign=daily-global-16-12-2021&utm_source=email) Analyst Take How To Trade Saxo’s “Outrageous” 2022 Calls [How To Trade Saxo’s “Outrageous” 2022 Calls]( [Photo of Andrew] Andrew, Analyst What’s Going On Here? Every year, Saxo comes up with a [selection of “outrageous” predictions]( for the next 12 months. And not to alarm you, but they really are [outrageous]( this year. You should see [the one about Meta](: it’ll completely change the way you think about life. And you think you know what inflation looks like? You won’t even [recognize]( the former headline-grabber this time next year. Oh, and not forgetting the [one prediction]( that Spotify absolutely doesn’t want you to see. So if you’re going to invest a cent in 2022, read. this. first: [five outrageous predictions for 2022](, and the outrageous ways to trade them. [Read or listen to the Insight here]( SPONSORED BY ALTS Alts are taking off. Who are the experts? Investing in [alternative markets]( can feel like you’re fumbling around in the dark. No one ever sits you down and tells you how to find the most promising comic books, after all, or explains how to value dinosaur bones. But with [Alts](, you’ll shed light on everything from the most exciting [emerging opportunities]( out there to the key facts and figures you need to know about them. That way, you’ll be able to boost your portfolio with some of the hottest assets out there: [NFTs](, [startups](, [sneakers](, even [music rights](. Alts’ experts were the first to start tracking some of those assets, and their [recommendations]( have been storming past benchmarks. You can’t get this analysis anywhere else: [sign up to Alts today](.  [Join Alts For Free]( Deck The Halls [Deck The Halls] What’s Going On Here? Data out on Wednesday [showed]( UK prices rose by the most in a decade last month, so this could end being Brits’ most expensive Christmas by far-la-la-la-la-la-la-la. What Does This Mean? British consumer prices rose by a higher-than-expected 5.1% last month compared to the same time last year – a hefty increase from October’s 4.2%, and well above the Bank of England’s (BoE’s) prediction of 4.5%. It’d be easy to blame fuel costs, which rose a massive 30% to hit a record high. But prices were on the up across the board: clothing by 4%, furniture by 12%, and second-hand cars by a massive 27%. Put those all together, and core inflation – a measure that removes volatile prices like food and, yep, fuel – rose 4% versus the same time a year ago. That’s its biggest jump since 1992, which makes you wonder what Jazzy Jeff makes of all this… Why Should I Care? The bigger picture: Don’t forget about you-know-what.This data would normally have been enough to convince the Bank of England (BoE) to raise interest rates when it meets on Thursday – especially combined with the latest strong [jobs update](. But there aren’t normal times, in case you’d forgotten: Omicron has prompted the UK government to take new, potentially economy-bruising [restrictions]( ahead of the holidays, and investors now reckon the BoE will put off raising rates till February ([tweet this](). Zooming out: China wants to get back on track. Price rises may have been much milder in China, but the country’s economic growth is still [slowing down](. There’s a couple of culprits: China’s crackdown on the property market sent residential sales down by around 20% last month versus the same time last year, while Covid-shy shoppers just haven’t been buying as much. That’s got the government's attention: it’s already planning to boost economic support early next year to stabilize growth, and economists reckon even more could follow. You might also like: [Inflation could give your portfolio a nasty knock. Here are five ways to protect yourself.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Deck The Halls&utm_campaign=daily-global-16-12-2021&utm_source=email) 💬 Quote of the day “Live for each second without hesitation.” – Elton John (an English singer, pianist and composer) [Tweet this]( CRYPTO PULSE, TOGETHER WITH FABRIIK Where should you keep your crypto? There are [two questions]( you need to ask yourself before you invest in crypto. First, how much should you invest? That depends on you, but investing a small amount is an easy way to mitigate your risk while exposing yourself to the market’s potential for growth. Second, what should you do with your crypto to keep it safe? That’s a simpler one to answer: you need [a wallet]( for every digital asset you own. And with [Fabriik Money Button](, you’ll get a popular [Bitcoin SV wallet]( that offers a simple way to make or accept crypto payments almost instantly for less than a cent. You can [pay, tip, and buy]( Bitcoin SV with Money Button’s unique swipe feature, as well as [trade up to $1000]( worth of crypto directly from your wallet with Fabriik Weave. [Set up a Fabriik Money Button wallet](.  [Find Out More]( When you support our sponsors, you support us. Thanks for that. 🌎 Finimize Live 😎 The 411 on DAOs Just FYI, DAOs are getting popular AF, so you should probably brush up ASAP. You’ll get the 411 at our [Investing In DAOs]( event – RSVP or face some serious FOMO. 🎉 [How To Invest In The Creator Economy](: 5pm UK time, January 11th 🏡 [An Alternative Way To Invest In Real Estate](: 5pm UK time, January 19th 📲 [Investing In DAOs](: 5pm UK time, January 25th 🔥 [Your Guide To New Investing Opportunities](: 6pm UK time, January 28th 🚀 [Will The Future Be Tokenized?](: 6pm UK time, January 31st 🎯 On Our Radar - Football on the beach, anyone? Something just emerged from [the deep sea](. - A sticky situation. This won’t be the [smoothest drive of your life](, that’s for sure. - Reduce, reuse, sell. You could [make enough]( to quit your job. - Florida Man’s at it again. There was a [flamethrower]( involved this time round. - Lost and found. Not even a [tornado]( can take away this family’s memories. ❤️ Share with a friend Your Referrals: 0 Thanks for reading {NAME}. If you liked today's brief, we'd love for you to share it with a friend. 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