- by New Deal democrat
I am on the road today, so I will have to keep this brief.
- by New Deal democrat
I am on the road today, so I will have to keep this brief.
- by New Deal democrat
Real GDP grew 0.7% in Q2, or a 2.8% annualized rate, a perfectly good number in line with the past three years:
- by New Deal democrat
This week completed the most challenging YoY comparisons with last summer. Recall that I suspect there may be some unresolved post-pandemic seasonality in these numbers, as this year’s increase starting in late spring has been close to a mirror image of last year’s increase. So if there is some real new weakness in jobless claims, the last three weeks were the most likely times it would show up.
- by New Deal democrat
Three months ago I wrote that “because mortgage rates have risen somewhat in the past few months (from 6.67% to 7.10%, I expect this range in new home sales to continue, with a slight downward bias in the immediate months ahead.” That is what has happened in the three months since. Mortgage rates (red in the graph below, right scale) remain elevated (over 7% on average in May) compared with earlier this year, so downward pressure has been placed on new home sales:
- by New Deal democrat
Since existing home sales are less important for economic purposes, and especially with new home sales being reported tomorrow morning, I will keep this brief.
- by New Deal democrat
Over the weekend Harvard econ professor Jason Furman suggested that the Fed funds rate is not very restrictive:
- by New Deal democrat
My “Weekly Indicators” post is up at Seeking Alpha.
While several of the monthly updates I’ve discussed here in the past week have tiptoed in the direction of yellow caution flags, that’s not apparent at all in the high frequency data that is updated every week, much of which comes from private sources.
In fact, this week for the first time in a long time, not a single coincident indicators was negative. A majority were positive, and the rest neutral.
As usual, clicking over and reading will bring you up to the virtual moment as to the state of the economy, and reward me a little bit for gathering and organizing the data for you.
- by New Deal democrat
- by New Deal democrat
If the news in housing construction this morning was cautionary, the news on manufacturing and industrial production was very good.
- by New Deal democrat
- by New Deal democrat
We are also down -0.7% YoY:
- by New Deal democrat
We passed a significant anniversary last week: the spread for the 10 year minus 2 year Treasury has been inverted for over 2 years (blue in the graph below). The 2 year minus 3 month Treasury spread has also been inverted for 20 months (red):
- by New Deal democrat
My “Weekly Indicators” post is up at Seeking Alpha.
The good news this past week on inflation was confirmed by the weekly data, and YoY nominal consumer spending hit a new high as well.
The good news cause bond yield to decline significantly, and stocks to make yet another all time high.
As usual, all of the details on the most up to the moment data are organized for you in the post, and clicking over and reading will reward me a little bit for doing so.
- by New Deal democrat
Now that we have the CPI reading for June, we can calculate how average wag earners are doing in “real” terms.
- by New Deal democrat