Consumer Spending on Services Blows Past Inflation, Fuels Services Inflation Further. Spending on Goods Fizzles by Wolf Richter • Dec 23, 2022 • 61 Comments Inflation isn’t going to just vanish: 62% of consumer spending went to services where demand is growing and where inflation is raging.
PCE Price Index for Services Doesn’t Let Up. Goods Inflation Improves. Why Powell Is Frustrated with Inflation in Services by Wolf Richter • Dec 23, 2022 • 61 Comments Services inflation rages, but the durable-goods PCE price index had biggest month-to-month drop in years: yardstick for the Fed’s inflation target.
How Strung-Out Are Households with their Debt Service & Financial Obligations as the Miracle of Free-Money Fades? by Wolf Richter • Dec 22, 2022 • 138 Comments Looks like households have lots of fuel left to throw on inflation, if they’re in the mood.
Eleven Months After Going Public via SPAC, Texas-Based Bitcoin Miner Core Scientific Files for Bankruptcy by Wolf Richter • Dec 22, 2022 • 134 Comments Consensual-hallucination stocks and crypto just keep on giving.
Home Sales Melt Down Nationally to Depths of Housing Bust 1. Prices -10% in 5 Months. Cash Buyers, Investors Massively Pull Back by Wolf Richter • Dec 21, 2022 • 115 Comments The seller-buyer standoff.
Fed Tightening Reduces Horrendous Wealth Disparity that QE and Interest Rate Repression Have Wrought: Fed Data by Wolf Richter • Dec 21, 2022 • 172 Comments The vast wealth of the top 1% households declined, the minuscule “wealth” of the bottom 50% increased a tad.
Bank of Japan, Last Holdout of “Free Money,” Begins to Tighten: Raises Cap of 10-Year Yield Peg, Paves Way for NIRP Exit by Wolf Richter • Dec 20, 2022 • 65 Comments Yen and 10-year yield spiked. BOJ cited bond market dysfunction, didn’t mention elephants in room: raging inflation & yen’s plunge.
San Francisco & Silicon Valley Housing Markets Puke Huge Price Drops, as Startups, Crypto, Tech, Social Media Make Total Mess by Wolf Richter • Dec 19, 2022 • 210 Comments In California overall, prices dropped year-over-year, as sales collapsed, supply more than doubled. No dear, this isn’t just a seasonal dip.
THE WOLF STREET REPORT: The Price of Easy Money Now Coming Due by Wolf Richter • Dec 18, 2022 • 188 Comments The Crazy Stuff & Asset Prices that arose during Easy Money are coming unglued as Easy Money ended.
The Most Splendid Housing Bubbles in Canada: December Update on a Housing Bust by Wolf Richter • Dec 16, 2022 • 109 Comments The ridiculous spikes, fueled by the Bank of Canada’s interest rate repression and QE, unwind metro by metro, some lightning fast, others more leisurely.