Spending soars, income stagnates, savings sink like the Titanic – by New Deal democrat Real life intruded yesterday, so I didn’t put up any information about the Q3 GDP report. I’ll write in detail next week, but in the meantime there were 4 basic highlights: 1. Obviously it was an excellent report overall. 2. The […]
Jobless claims continue near expansion lows – by New Deal democrat Jobless claims continued very low last week, justifying taking down the “yellow caution flag” that had been in place for a number of months. Specifically, weekly new claims rose 10,000 to 210,000 – still a very low historical number. The more important four week […]
The bifurcation in the new vs. existing home market continues – by New Deal democrat Last week we saw that sales of existing homes plummeted to a 28 year low, save for one month in 2010; but prices for the very limited number of such homes on the market rose 2.8% YoY. This morning we saw […]
Stock prices and bond yields during disinflationary, deflationary, and reflationary periods – by New Deal democrat This is an update of a post I wrote almost exactly 10 years ago. I’m doing this because of an important secular change I noticed that appears to have happened in the financial markets. Back when I first started delving […]
This is an excellent review of what has helped the economy stay stable during the pandemic and some of the issues mostly centered around demand and supply chain. Spend a few minutes here and read NDd’s reasoning. A further examination of the state of the economic tailwind – by New Deal democrat With no big […]
Weekly Indicators for October 16 – 20 at Seeking Alpha – by New Deal democrat My Weekly Indicators post is up at Seeking Alpha. Obviously, the big story of the week was the surge in interest rates. The 10 year Treasury yield closed above 5% for the first time since 2007, and mortgage rates went above 8% […]
Why the index of leading indicators failed: examining the once in a lifetime post-pandemic tailwind – by New Deal democrat Carl Quintanilla observed the one year anniversary of the following two days ago: I’ve written previously about what confounded that forecast. But let me highlight those issues again. 1. A 40% drop in gas prices, and […]
The collapse of the existing home market continues in September – by New Deal democrat September was yet another month in the ongoing collapse of existing home sales. To wit, sales declined another -8,000 on an annualized basis to 3.960 million. This is the lowest number since August 2010. And aside from that one singular […]
Initial claims on the cusp of turning lower YoY – by New Deal democrat Initial jobless claims dropped below 200,000 last week for the first time since January, and not too far from the 50+ year low of 182,000 set in September one year ago. Specifically, they declined -13,000 to 198,000. The four-week average declined -1,000 […]
The last holdout in housing data has turned; ‘recession watch’ for next 12 months remains – by New Deal democrat Last month I wrote that: “the biggest news was what happened with units under construction. The total declined slightly, as did single family units. But most significantly, for the first time since February 2021, multi-family […]