A quick read today

Regarding the NYC Mayoral race, with a world of historical precedent on the failed experiences of socialism, it remains a mystery why people still yearn for its inevitable results.

FedEx has their finger on the pulse of global commerce as good as any as they "connect 99% of the world's commerce...move $2 trillion worth of goods every year...connect 3 million shippers to more than 225 million consumers" and this is what they said last night:

After praising one of the greatest entrepreneurs the world has ever seen, Fred Smith, the CEO explained why after only 1% y/o/y revenue growth they were able to drive 8% operating income growth "in a weak demand environment" and helped by selective capacity cuts based on shifting trade flows.

"March performance was solid and in line with our expectations. Following the April 2^nd tariff announcement, customer concerns increased, and as a result, volume softened. In early May, upon tariff implementation, China to US volumes deteriorated sharply and remained weak throughout the rest of the quarter. Our international export revenue was flat, reflecting the tariff related impact on our Trans-Pacific trade lane."

"US domestic volumes held up well throughout the quarter, with growth accelerating in late April and May." Not clear of course how much was tariff front running or not. See below for more color on this.