Inflation.......... ?

[Hobo Hilton]

The FED is losing the inflation battle.
____________

Job creation in the US remained robust last month, despite rising prices and a sharp spike in borrowing costs weighing on the economy.
Employers added 339,000 jobs, but the unemployment rate rose to 3.7%, from April's unusually low 3.4%.
The gains were far greater than expected, continuing a streak of hiring that has surprised economists.

Strong job gains in US add to economic puzzle

Employers defy predictions of a slowdown by hiring 339,000 workers, far above expectations.

www.bbc.com

 

[NoDopes]

Despite being the highest-growing sector compared with last month, health care still added fewer jobs than it has on average over the past six months. But the social assistance sector saw a larger increase than it has on average in that time period, helped by gains in the individual and family services sub-industry.

Health care + social assistance
64.2K

So, all that money flowing to handle illegal aliens? Fuckers

 

[Hobo Hilton]

Inflation is now knocking at the "Back Door".
______________
In September, Caroline Hernandez, a Florida homeowner, got a notice from her mortgage lender that her escrow account that held funds to pay her homeowners insurance and property taxes was short by $3,522 because her insurance premiums had increased.
The shortage meant that Hernandez’s mortgage payment would increase by $800 a month unless she paid the entire shortfall upfront. She did with her savings, but six months later, her escrow was short again by $1,792, which she again paid from savings.
“Florida is talking about another 40- to 60-percent increase in homeowners insurance,” Hernandez said. “I can’t afford another shortage.”

Homeowners face shortfalls in their escrow accounts as costs rise

56% of homeowners indicated that their escrow payment increased in the last 12 months, up from 51% in 2021 and 49% in 2020.

finance.yahoo.com

 

[Emerson0311]

Inflation is now knocking at the "Back Door".
______________
In September, Caroline Hernandez, a Florida homeowner, got a notice from her mortgage lender that her escrow account that held funds to pay her homeowners insurance and property taxes was short by $3,522 because her insurance premiums had increased.
The shortage meant that Hernandez’s mortgage payment would increase by $800 a month unless she paid the entire shortfall upfront. She did with her savings, but six months later, her escrow was short again by $1,792, which she again paid from savings.
“Florida is talking about another 40- to 60-percent increase in homeowners insurance,” Hernandez said. “I can’t afford another shortage.”

Homeowners face shortfalls in their escrow accounts as costs rise

56% of homeowners indicated that their escrow payment increased in the last 12 months, up from 51% in 2021 and 49% in 2020.

finance.yahoo.com

The great reset is real.

 

[Hobo Hilton]

They are drinking the Government Koolaid.

Consumers are growing more optimistic that inflation is on the way down, according to a New York Federal Reserve survey released Monday.
The central bank’s monthly Survey of Consumer Expectations for May showed one-year inflation expectations down 0.3 percentage point to a 4.1% rate.
That’s the lowest annual outlook since May 2021, just as inflation was beginning to spike to its highest level in more than 41 years. The one-year expectation then was 4%; inflation as measured by the consumer price index actually would rise to 8.6% a year later.

Inflation outlook hits two-year low in latest New York Fed survey

The Survey of Consumer Expectations for May showed one-year inflation expectations down 0.3 percentage point to a 4.1% rate.

www.cnbc.com

 

[lariat]

They are drinking the Government Koolaid.

Consumers are growing more optimistic that inflation is on the way down, according to a New York Federal Reserve survey released Monday.
The central bank’s monthly Survey of Consumer Expectations for May showed one-year inflation expectations down 0.3 percentage point to a 4.1% rate.
That’s the lowest annual outlook since May 2021, just as inflation was beginning to spike to its highest level in more than 41 years. The one-year expectation then was 4%; inflation as measured by the consumer price index actually would rise to 8.6% a year later.

Inflation outlook hits two-year low in latest New York Fed survey

The Survey of Consumer Expectations for May showed one-year inflation expectations down 0.3 percentage point to a 4.1% rate.

www.cnbc.com

Does nobody see the word salad here? Inflation declining is still inflation until its deflation. What in the hell is optimistic about that? It is still a historic, accelerated erosion of purchasing power.

 

[Hobo Hilton]

Inflation is far above 4%.... Government is simply reporting a number that "works for them".

Inflation rose at a 4% annual rate in May, the lowest in 2 years

The consumer price index was expected to rise 0.1% in May, according to the Dow Jones consensus estimate.

www.cnbc.com

 

[Hobo Hilton]

The numbers listed below the "Energy" Sector and entirely bogus. The only reason health insurance spending went down is because people are canceling health insurance. Why should a wetback get free medical and a working American pay through the nose.
__________________

Here’s the inflation breakdown for May 2023, in one chart

The consumer price index rose at its slowest pace in two years in May, the U.S. Bureau of Labor Statistics said Tuesday.

www.cnbc.com

 

[devildog93]

I guess gas coming down is a plus, but with food still going up at a pretty good clip I think it is outpacing my wage growth.

 

[Hobo Hilton]

New term for inflation is “greedflation,”............ No matter to the guy on Main Street who is paying more for everything. Inflation and greedflation have the same result to him.
______________________

There are few good things about living through a period with the highest inflation in four decades, but here’s one: It’s a chance to re-examine what happens in an economy that’s gone haywire.

Since prices started to escalate a year ago, politicians and economists have seized on inflation to tell their preferred story about what went wrong, and what policies would bring it back into line. Some say it’s very straightforward: Supply and demand, Economics 101.
“There’s simply a lot of cash out there,” said Joe Brusuelas, chief economist for the accounting firm RSM US, referring to the several trillion dollars in pandemic stimulus that’s filtered into the economy since early 2020. “The competition for those goods is up and that’s sending prices up, whether we’re talking about getting a Nissan Sentra or a seat on an American Airlines flight.”
The White House and progressive organizations, however, say wait a minute: This time is different. In a time of extraordinary disruption, they contend, increasingly dominant corporations are taking the opportunity to jack up prices more than they otherwise could, which is squeezing consumers and supercharging inflation. Or “greedflation,” as the hypothesis has come to be known.

Is ‘Greedflation’ Rewriting Economics, or Do Old Rules Still Apply? (Published 2022)

Economists and politicians are debating whether monopolistic companies are fueling inflation in ways that confound longstanding theory.

www.nytimes.com

 

[Hobo Hilton]

“Over the long run, it would be better if they were to, in my opinion, only focus really on price stability and therefore give people confidence that their purchasing power would remain intact,” Thomas Hoenig, former president of the Federal Reserve Bank of Kansas City, told CNBC.

Why the Federal Reserve's dual mandate may seem impossible

The Fed has to strike a delicate balance to ensure low, steady prices while setting a course for an economy that encourages everyone to get a job who wants one.

www.cnbc.com

 

[lariat]

“Over the long run, it would be better if they were to, in my opinion, only focus really on price stability and therefore give people confidence that their purchasing power would remain intact,” Thomas Hoenig, former president of the Federal Reserve Bank of Kansas City, told CNBC.
View attachment 8161741

Why the Federal Reserve's dual mandate may seem impossible

The Fed has to strike a delicate balance to ensure low, steady prices while setting a course for an economy that encourages everyone to get a job who wants one.

www.cnbc.com

The article you are referencing is exactly what’s wrong. It’s bullshit. An economy that encourages a job for everyone that wants one? How about everyone get a job and contribute to society? Also, the Fed doesn’t want full employment- that’s an economy that’s “too hot” - this has been their statement for some time now. Unemployment that is too low is contributing to inflation due to increased demand and thereby competition for goods and services which raises prices. The whole thing is a farce, especially when fiat money is involved.

 

[Hobo Hilton]

The UK and Europe, in general, will tame inflation before the FED.
The European Central Bank on Thursday announced it is taking its main rate up by 25 basis points to 3.5%, diverging from a U.S. Federal Reserve decision to pause its own hikes on Wednesday.

European Central Bank diverges from Fed, raising rates to highest in 22 years

The European Central Bank raised rates on Thursday as it attempts to bring down persistently high inflation.

www.cnbc.com

 

[Hobo Hilton]

Jerome Powell is attempting to 'preserve jobs" and bring down inflation.. Basically "Have his cake and eat it, too"... The longer this facade continues, the more working American's will suffer. Powell is swimming against the current of economics while caving into the politicians. Powell is in someone's back pocket.
______________

“It will be appropriate to cut rates at such time as inflation is coming down really significantly. And again, we’re talking about a couple of years out,” Powell said. “As anyone can see, not a single person on the committee wrote down a rate cut this year, nor do I think it is at all likely to be appropriate.”

— Yun Li
Former Dallas Fed president Richard Fisher: The Fed is ‘totally devoted’ to 2% inflation target

The Fed is still a long way away from its 2% inflation target, says former Fed Governor Mishkin​

This map shows how much money renters in every state need to earn to afford a 2-bedroom apartment

In no U.S. state or city can a full-time worker earning the local minimum wage afford a two-bedroom apartment, the National Low Income Housing Coalition finds.

www.cnbc.com

 

[Hobo Hilton]

Worldwide.

More than two million UK drivers have been made to pay a controversial tax for luxury cars due to soaring inflation costs, The Mail on Sunday can reveal.
Chancellor Jeremy Hunt was last night under pressure to lift middle-class families out of the £390 surcharge – known as the luxury car tax – which is applicable to new vehicles worth more than £40,000

Inflation forces two million motorists to pay £390tax on 'luxury' cars

When the tax was introduced in 2017 it affected only 200,000 owners of high-end models, but rising car costs have meant this number has risen tenfold.

www.dailymail.co.uk

 

[Hobo Hilton]

American's are living within "The Great Reset"... Inflation is worldwide. The "US Government Numbers" are meaningless when it comes to tracking inflation. How can inflation in the UK be at 8.7% while we are told US inflation is at 4% ?
It does not add up.

Morning Bid: Powell patter, UK shock, FedEx warning

A look at the day ahead in U.S. and global markets from Mike Dolan

www.reuters.com

 

[Bigfatcock]

American's are living within "The Great Reset"... Inflation is worldwide. The "US Government Numbers" are meaningless when it comes to tracking inflation. How can inflation in the UK be at 8.7% while we are told US inflation is at 4% ?
It does not add up.

Morning Bid: Powell patter, UK shock, FedEx warning

A look at the day ahead in U.S. and global markets from Mike Dolan

www.reuters.com

We use common core math.

 

[IronSkillet]

Got a good laugh reading the article, “ China unveiled 72 billion in tax breaks for EV”.

Think Powell is down playing inflation numbers in US, think 9% average is closer to the truth.

 

[Hobo Hilton]

Inflation will continue until Powell retires and draws a fat Government pension. How is "The Great Reset" starting to feel ?
___________
Federal Reserve Chairman Jerome Powell on Wednesday affirmed that more interest rate increases are likely ahead until more progress is made on bringing down inflation.
“Inflation has moderated somewhat since the middle of last year,” he said. “Nonetheless, inflation pressures continue to run high, and the process of getting inflation back down to 2% has a long way to go.”

Powell expects more Fed rate hikes ahead as inflation fight 'has a long way to go'

Noting that inflation has cooled but "remains well above" the Fed's 2% target, Powell said the Fed still has more work to do.

www.cnbc.com

 

[Hobo Hilton]

A headline today, hidden behind a pay wall:

‘Home buyers have adjusted’ to new normal of near-7% mortgage rates and more newlyweds are asking for this specific gift​

This how the "Great Reset" will play out. Conditions will be so bad, for so long... It becomes the norm. Unfortunate for those on a fixed income or those nearing retirement with "the perfect retirement plan" that will not last them until they die.

‘Home buyers have adjusted’ to new normal of near-7% mortgage rates and more newlyweds are asking for this specific gift

Thursday's top personal finance stories.

www.marketwatch.com

 

[Hobo Hilton]

Worldwide "Reset"...
_____________
Euro zone inflation hit 5.5% in June, according to preliminary data, coming in lower than analyst expectations — but core inflation, which excludes energy and food, remains stubbornly high and rose to 5.4%.
Core inflation had eased to 5.3% in May, from 5.6% in April.
Headline inflation is now at its lowest point since January 2022, Eikon data show, but remains well above the European Central Bank’s 2% target.

Euro zone inflation slides more than expected in June, but core rate ticks higher

Euro zone inflation came in at 5.5% in June, according to preliminary data, lower than analyst expectations.

www.cnbc.com

 

[fpgt72]

Got a good laugh reading the article, “ China unveiled 72 billion in tax breaks for EV”.

Think Powell is down playing inflation numbers in US, think 9% average is closer to the truth.

Everything that comes out of China from "official sources" is pure bullshit, and by everything I mean FUCKING EVERYTHING.

Now you can say a great many things about the chinese, but stupid is not one of them. The too know the value of the "long game". You need to look into the gains of what they are doing. What do they win. Well turn on your TV, that will tell you what the win is on so many different fronts.

Only problem just like their ghost cities that have existed for decades I will link a quick video that I admit I have not watched this specific one, so hopefully it will support my views.

The entire thing is a house of cards, and all it takes is one good wind and it will come crashing down. Personally I think that even now China is not going to do anything about "the other china". Yes they do need it like they needed Hong Kong several years ago, and yes we will likely see the same promise out of them that they told the British, we will leave it just as it is....we will not change anything. Sure. Unless you see something "bad" in china and things start to get REALLY rocky only then you will see an invasion. It is just what dictators do when they get in trouble, for a fairly recent example look to the Falklands war. Shit going bad in Argentina and to get "the people" behind them again, take the Malvinas back. I
The entire economy of China is built on a lie, and sooner or later that lie will fall apart, and when it does that is the time to really start to worry.

 

[Hobo Hilton]

“It’s the least affordable car market in modern history,” said CoPilot’s CEO Pat Ryan.

With just 8% of new vehicles costing under $30,000, 'it’s the least affordable car market in modern history,' expert says

As consumer tastes change, carmakers are upgrading their lineups and scaling back on less-expensive cars.

www.cnbc.com

 

[Hobo Hilton]

 

[Hobo Hilton]

Every day that the FED Reserve kicks this can down the road, the more you lose buying power with your USD's.
But again, that is one more day they get their pension package to grow larger.
_____________________
“The participants favoring a 25 basis point increase noted that the labor market remained very tight, momentum in economic activity had been stronger than earlier anticipated, and there were few clear signs that inflation was on a path to return to the Committee’s 2 percent objective over time,” the minutes said.

Fed sees more rate hikes ahead, but at a slower pace, meeting minutes show

The Federal Reserve on Wednesday released the minutes from its June 13-14 meeting.

www.cnbc.com

 

[Hobo Hilton]

Montana winter's are hard on everything. Summer's are spent getting ready for winter. I have been painting house, shop, garage and chicken coop. By having a contact at Sherwin Williams, I am getting a slight discount on paint. My deck is in bad shape so I am filling some bad places before painting. Last year I found some wood filler caulking at my local Habitat for Humanity outlet. Got a tube last summer for 50 cents. Today those tubes are now $3 / each. I'm economizing but inflation has trickled down to the Thrift Stores. Not seeing any ending in sight. Buckle up

 

[Hobo Hilton]

The average rate on the popular 30-year fixed mortgage hit 7.22% on Thursday, according to Mortgage News Daily. That’s the highest point since early November.
Mortgage rates follow loosely the yield on the 10-year Treasury
, which leapt higher following a much stronger-than-expected employment report from ADP.
Rates had already begun rising last week, following signals from Federal Reserve Chairman Jerome Powell that the central bank may continue raising interest rates following a pause in June.
In remarks to Congress just after the June Fed meeting, Powell said the central bank has “a long way to go” to bring inflation back to the 2% goal. The next interest rate decision is on July 26.

Mortgage rate soars to 7.22% after strong economic data

The average rate on the popular 30-year fixed mortgage hit 7.22%, according to Mortgage News Daily.

www.cnbc.com

 

[Hobo Hilton]

Obviously the US Government does not think inflation is going away.
"We the People".... Paying more and getting less....

_______________________

The cost of a "forever" stamp for first-class mail is rising from 63 to 66 cents Sunday as part of increased mailing prices approved by the Postal Regulatory Commission earlier this year at the request of the USPS. The USPS said it needed more money in part due to high inflation

US Postal Service raising stamp prices Sunday

The United States Postal Service is hiking mailing prices this weekend to boost revenue as first-class mail volumes continue to plummet.

www.foxbusiness.com

 

[Hobo Hilton]

US bankruptcy filings surge in first half of 2023

Bankruptcies filings for individuals and businesses in the U.S. jumped markedly in the first six months of 2023 compared to the year before as debt levels surge.

www.foxbusiness.com

 

[Hobo Hilton]

While the US Government "Cherry Picks" areas and numbers for it's inflation numbers...
________________________________
With so many people from out-of-state moving to Florida, the Sunshine State has become the inflation hot spot of the country-- and it's largely driven by the high cost of housing.
Miami-Fort Lauderdale and West Palm Beach area has the highest inflation rate of all U.S. metro areas.
They're dealing with 9% inflation — more than double the national average of 4% — according to data from the Consumer Price Index.
The Tampa-St.Peterburg-Clearwater area has the third highest inflation rate in the country at 7.3% in May.
The Sunshine State’s growing population has been pushing up inflation, particularly through higher housing costs.
Economists say it’s a trend that accelerated during the pandemic when remote work gave some Americans the freedom to relocate.

Florida named inflation hotspot due to sky-high housing costs

Economists say it’s a trend that accelerated during the pandemic, when remote work gave some Americans the freedom to relocate.

www.wesh.com

 

[Hobo Hilton]

Federal Reserve..... Too little, too late is not working.
___________________________________

Federal Reserve Bank of San Francisco President Mary Daly said it's too soon for policymakers to say they have done enough to return US inflation to their target. “It's really too early to say that we've declared victory on inflation,” she said on CNBC on Thursday.54 mins ago

Bloomberg - Are you a robot?

 

[Hobo Hilton]

Worldwide, wages are increasing. Higher wages = more inflation. A vicious cycle that will end in a recession, either way.
_______________
"Both situations would create pain for UPS, so it could just be a question of when and how the company wants to take its medicine," Chan said.

UPS strike could be costliest in US in a century, study says

A threatened U.S. strike at United Parcel Service could be "one of the costliest in at least a century," topping $7 billion for a 10-day work stoppage, a think tank specializing in the economic impact of labor actions said on Thursday.

www.reuters.com

 

[Hobo Hilton]

Read it and weep. Here is a contract that has factored in inflation at 10% annually for the next 4 years.
Surely some of you will not see it like that.
"Prices" are never going to come down to pre-pandemic levels.
__________________________________
The pilots will get cumulative 34.5%-40.2% increase in pay raises in a new four-year contract, the Air Line Pilots Association (ALPA) said.
With fewer pilots, the group has been enjoying enhanced bargaining power. Consumers have kept up spending on travel even with inflation high, and the industry is short thousands of pilots.

United Airlines pilots reach labor agreement, boost pay

United Airlines and its pilots on Saturday reached a labor agreement that will give the latter a significant pay increase, after the union rejected an earlier offer last year instead to seek even higher wages with pilots in short supply.

www.reuters.com

 

[Gwak2006]

Read it and weep. Here is a contract that has factored in inflation at 10% annually for the next 4 years.
Surely some of you will not see it like that.
"Prices" are never going to come down to pre-pandemic levels.
__________________________________
The pilots will get cumulative 34.5%-40.2% increase in pay raises in a new four-year contract, the Air Line Pilots Association (ALPA) said.
With fewer pilots, the group has been enjoying enhanced bargaining power. Consumers have kept up spending on travel even with inflation high, and the industry is short thousands of pilots.

United Airlines pilots reach labor agreement, boost pay

United Airlines and its pilots on Saturday reached a labor agreement that will give the latter a significant pay increase, after the union rejected an earlier offer last year instead to seek even higher wages with pilots in short supply.

www.reuters.com

Does any really expect deflation? I think it would be the best case senerio for our economy, but I don't think it will be allowed.

 

[Hobo Hilton]

Does any really expect deflation? I think it would be the best case senerio for our economy, but I don't think it will be allowed.

It is certainly a scenario an old man on a fixed income is watching closely.
Question I ask myself, being I have a small homestead = Should I take half of my rainy day savings and purchase items that I will surely need over the next 4 years or should I just hold off and buy things as I am forced to over the next 4 years? Things like fire wood, chicken feed, hog wire, fence post and items with a longer shelf life. I have a tractor but a few more specialized 3 point hitch implements would make life easier. Currently new implements cost more than what I paid for my tractor.

Like many American's, I am starting to use up my stores just maintaining my place. When I take my 5 gallon gas cans for a re-fill, there goes a $100 bill. Being warned that the escrow account with my mortgage company is coming up short due to insurance and taxes increasing.

Not looking for sympathy because the majority of hard working American's are in the same boat. When asking about different Government programs, we are told "You make too much money".... Feeling the squeeze.

 

[pmclaine]

A headline today, hidden behind a pay wall:

‘Home buyers have adjusted’ to new normal of near-7% mortgage rates and more newlyweds are asking for this specific gift​

This how the "Great Reset" will play out. Conditions will be so bad, for so long... It becomes the norm. Unfortunate for those on a fixed income or those nearing retirement with "the perfect retirement plan" that will not last them until they die.
View attachment 8172632

‘Home buyers have adjusted’ to new normal of near-7% mortgage rates and more newlyweds are asking for this specific gift

Thursday's top personal finance stories.

www.marketwatch.com

7% or higher mortgages are the norm.

We should never have printed so much money to make 2% possible.

Time to pay the piper.

 

[pmclaine]

Worldwide, wages are increasing. Higher wages = more inflation. A vicious cycle that will end in a recession, either way.
_______________
"Both situations would create pain for UPS, so it could just be a question of when and how the company wants to take its medicine," Chan said.

UPS strike could be costliest in US in a century, study says

A threatened U.S. strike at United Parcel Service could be "one of the costliest in at least a century," topping $7 billion for a 10-day work stoppage, a think tank specializing in the economic impact of labor actions said on Thursday.

www.reuters.com

My soon to be sophomore son just got his first job on the books…..$16/hr…..working at a fish store.

Crazy!

 

[Hobo Hilton]

Last week’s consumer inflation numbers fell to their lowest annual rate in two years. A similar encouraging decline was seen in the producer price index, increasing bets that the Federal Reserve can achieve a soft landing for the U.S. economy, an outcome that has rarely happened during previous rate hiking cycles.
Experts are torn about what the progress on inflation means for the July 25-26 meeting of the Fed’s Federal Open Market Committee, which will make its next call on interest rates, as well as the probability of recession.
Reducing inflation remains top of mind for the Fed, and the rate hikes that it refers to as a “blunt tool” remain its primary tool for cooling prices throughout the economy. The market is fully expecting another interest rate hike from the Fed in July, after it skipped a rate hike in June. Current bets are close to unanimous, with 96% of traders saying the Fed will raise rates by another 25 basis points, to a range of 5.25% to 5.50%, according to the CME Fed tracker.

Why declaring victory over inflation too soon may be a mistake for economy

Inflation is easing in consumer and wholesale prices, and the market is rallying on an end to Fed rate hikes. But that may not come so soon, for good reason.

www.cnbc.com

 

[pmclaine]

7% or higher mortgages are the norm.

We should never have printed so much money to make 2% possible.

Time to pay the piper.

.....and along with my sons new job came a new bank account and despite higher Fed rates I see banks are still paying just about zero for interest on savings.

Looks like banks have come accustomed to believing our money is theirs and won't be paying rates that fixed income people could actually find helpful or to promote savings.

 

[Bigfatcock]

.....and along with my sons new job came a new bank account and despite higher Fed rates I see banks are still paying just about zero for interest on savings.

Looks like banks have come accustomed to believing our money is theirs and won't be paying rates that fixed income people could actually find helpful or to promote savings.

Set him up with an investment account that allows buying fractional shares. Buy the S&P 500 every week until he is 35.

 

[pmclaine]

Set him up with an investment account that allows buying fractional shares. Buy the S&P 500 every week until he is 35.

Your glass is half full. I like that about you.

If anything I’m more inclined to recommend gold for him only if lead and brass are not available.

 

[Bigfatcock]

Your glass is half full. I like that about you.

If anything I’m more inclined to recommend gold for him only if lead and brass are not available.

Gold is good too, but make sure he buys physical gold.

Seriously though, $50 a week into the S&P 500 starting now. Increase the amount purchase over time.

In no time he’ll be reinvesting dividends.

 

[Hobo Hilton]

Your glass is half full. I like that about you.

If anything I’m more inclined to recommend gold for him only if lead and brass are not available.

Let us know what his reaction is after looking over that first paycheck stub and learning about all the "deductions". Always an eye opener for a kid at his first job.

 

[Hobo Hilton]

Remember when gasoline went to $5 / gallon ? Then it dropped to $4 / gallon and people thought it was cheap.
Here is a similar situation.
______________

“Buyers know 3.5% mortgages aren’t coming back,” Yun said. “So 5.5% would bring out buyers.”

The mortgage market isn't sending the signal homebuyers need on affordability

Mortgage rates should move down sharply from 7% as inflation falls, the Fed nears the end of its hikes, and recession fears wane. So why isn't that happening?

www.cnbc.com

 

[pmclaine]

Let us know what his reaction is after looking over that first paycheck stub and learning about all the "deductions". Always an eye opener for a kid at his first job.

His first question was what will $16 be after taxes.

I will be sure to point out that fifteen minutes of every hour the govt is taking his money.

Or better if he works an 8 hour day he is not making money until after he has been there two hours already.

 

[pmclaine]

Remember when gasoline went to $5 / gallon ? Then it dropped to $4 / gallon and people thought it was cheap.
Here is a similar situation.
______________

“Buyers know 3.5% mortgages aren’t coming back,” Yun said. “So 5.5% would bring out buyers.”

The mortgage market isn't sending the signal homebuyers need on affordability

Mortgage rates should move down sharply from 7% as inflation falls, the Fed nears the end of its hikes, and recession fears wane. So why isn't that happening?

www.cnbc.com

5.5 was a fantastic mortgage when I was paying 6.5 in 2008.

My parents that bought the house I live in and bought from them and xperienced plus 15% at one point.

 

[Hobo Hilton]

Wages are rising and consumers continue to pay more for less. A vicious cycle.
__________________
Persistent strength in consumer spending has made the Federal Reserve’s job harder as it tries to quash inflation. June’s retail sales report is expected to highlight that challenge. The Census Bureau releases monthly data for June Tuesday morning. Economists are expecting retail sales to rise by 0.6% from May, according to consensus estimates from FactSet. That follows May’s surprise 0.3% uptick, and would mark the third consecutive month of increases in retail sales.

June’s Retail Sales Report May Be the Latest Sign That Shoppers Refuse to Buckle

Sales at car dealerships and restaurants boosted spending last month, economists predict.

www.marketwatch.com

 

[Hobo Hilton]

The war against inflation is a long way away from being won

Despite recent signs that inflation is cooling, the fight to bring down the meteoric price increases of the past three years is far from over.

www.cnbc.com

 

[Hobo Hilton]

Funny thing..... With all the Government waste, now they are concerned about cost... LOL

Current building material costs are reportedly 37% higher than pre-pandemic levels.

Biden’s Infrastructure Boom Is Being Held Back By High Construction Costs | OilPrice.com

The U.S. construction industry continues to grapple with high construction material costs, labor shortages, and an increasing backlog of infrastructure projects.

oilprice.com

 

[Hobo Hilton]

Been a few critics that have commented "this is a shooting website". Why all the talk about inflation / recession ? Seems inflation has filtered down to shooting. No let up in sight, on anything.

Price shock.

I am loading up some 30-40 Krag, what it is going to be fed to is in the vintage thread around here somewhere. And I had a case of reverse sticker shock.

www.snipershide.com