Finance Knuggets

Jun 09, 2024

I recently read about the news regarding wage growth, which seems to be showing signs of not slowing down. The typical worker’s pay jumped in May, even as the number of people working continued to rise briskly. This is a significant development as it has implications for the inflation outlook and interest rates. The increase in pay tends to have persistent effects on spending, and if consumers’ wages rise much faster than businesses’ ability to produce, prices will likely rise. This is why investors and policymakers are closely tracking the job market.

Another interesting development is the emergence of an upstart stock exchange in Texas, which aims to challenge the dominance of Wall Street’s duopoly. The Texas Stock Exchange (TXSE) has already raised about $120 million from investors and plans to offer a more company-friendly stock exchange based in Dallas as an alternative to the NYSE and Nasdaq. This move reflects Texas’ positioning as a hub for the current corporate backlash against ESG and its efforts to provide alternatives to the incumbent systems of New York and Delaware.

The news also highlighted the challenges that the TXSE may face, such as regulatory approval, attracting listings, and competing for order flow. It will be interesting to see how the TXSE navigates these challenges and whether it will be able to make a dent in the entrenched corporate strongholds on the coasts. Overall, these developments in wage growth and the emergence of the TXSE reflect the dynamic nature of the financial landscape and the ongoing efforts to create alternatives to traditional financial systems.

Stay Well!

summy
summy