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Zero Hedge” Just a week after Goldman unleashed a wave of worry about tighter financial conditions with its revised forecast boosting 2021 and 2022 GDP up by 0.2% each year, to 6.8% and 4.5%respectively, as a result of a far bigger stimulus than its had originally expected ($1.5 trillion vs $1.1 trillion originally), which set the US economy directly on collision course with overheating (and prompted Goldman to pull forward its first rate hike estimate to H1 2022), other banks have started jumping on the overheating bandwagon, and today JPMorgan became the latest bank to nearly double its Covid stimulus forecast, which led the bank to aggressively boost its 2021 and 2022 GDP estimates as well.

In a note to clients, JPM’s chief economist Michael Feroli made the following forecast revisions:

• We now look for a $1.7 trillion fiscal stimulus package (up from $900 billion) to be passed in March
• Even before that kicks in, growth appears to be on firmer footing at the start of the year
• All told we now expect 6.4% (4Q/4Q) GDP growth this year and 2.8% next year
• We see the labor market getting back to full employment, or around 4% unemployment, by 2Q22…
• …and expect core PCE inflation to reach 2.0% by 4Q22, with balanced risks around the outlook
• While the outlooks for growth and inflation are moving up, Fed rhetoric appears to be getting more dovish Read More

CNBC: Bitcoin’s market value surpassed $1 trillion on Friday, according to Coindesk.

The digital currency was trading at just under $54,000 per coin Friday as it hit the new level, and rose above $55,000 later in the session for a daily gain of more than 6%, according to Coin Metrics. The price of bitcoin has now gained about 360% over the past six months. Before the recent surge, the digital asset has never traded above $20,000.

The move has been fueled in part by increased adoption of bitcoin by major investors and companies. The oldest bank in the United States, the Bank of New York Mellon, announced earlier this month that it was moving into the space. Elon Musk’s Tesla converted some of its balance sheet cash into bitcoin earlier this year and said it would start accepting the digital tokens as payment.

New York Post: The US officially rejoined the Paris Climate Accord on Friday — almost a month after President Biden declared that the US again accepted the agreement’s terms.

Former President Donald Trump withdrew the US from the accord. He said it was ineffective because it allows countries to voluntarily restrain their own pollution and seeks to hold the US and other industrialized countries to a higher standard.

Although Trump said in 2017 the US was pulling out, the move was largely symbolic and it didn’t actually happen until last year following a one-year notification period to the United Nations.

UN officials cheered the return of the US — even though Biden’s climate team, led by John Kerry, is angling to help craft a more ambitious pact at a meeting in Glasgow, Scotland, in November. Read More

CNBC: Yellen told CNBC Thursday after the bell that more stimulus is necessary even as some economic data suggested a swift rebound. She added a $1.9 trillion stimulus deal could help the U.S. get back to full employment in a year.

“We think it’s very important to have a big package [that] addresses the pain this has caused – 15 million Americans behind on their rent, 24 million adults and 12 million children who don’t have enough to eat, small businesses failing,” Yellen told CNBC’s Sara Eisen during a “Closing Bell” interview.

“I think the price of doing too little is much higher than the price of doing something big. We think that the benefits will far outweigh the costs in the longer run,” she added. Read More