The Fed has now shed 29% of Treasuries it had added during pandemic QE.
Sales of EVs soar 56.7% in 2023 through Q3. Sales of vehicles with gasoline engines languish at +1.4%. The new registrations are out.
Subprime is the mother lode of profits – until it isn’t.
Wolf Richter on Adam Taggart’s “Thoughtful Money.”
Job openings in construction near record; job market retightens in manufacturing and in business & professional services where many tech companies are.
The drop in new orders was off an all-time high, while unfilled orders rose to an all-time high. Orders by major category.
Wolf Richter on This Week in Money.
The supply-chain catastrophe in 2020-2021, the edgy US-China relationship, and the scary dependence on China triggered a big corporate rethink.
They Out-Spent and Out-Earned inflation without breaking a sweat, and saved some too.
Gasoline plunged, durable goods fell. Inflation still hot in housing, insurance, healthcare, transportation (incl. auto services). Food inflation simmers.
They don’t matter until they suddenly do.
Our drunken sailors in Congress better head to the detox.
20-City index below 2022 high, 9 metros below 2022 highs, 10 metros set new highs. The unsavory “National” index cocktail in the headlines gets shredded.
Mortgage-rate buydowns, “smaller product footprints,” and “de-amenitizing” to bring down payments: D.R. Horton.
Banks, forced by competition from money market funds, got the memo.
Investors smell the money, billions are flowing, even in the US, which could become major lithium producer.
“If the markets don’t infer from this that it’ll be high for longer, we’ll have to use our rate instruments and hike to get where we want to go.”
Supply is coming back, demand is not. Prices are still way too high.
Plunging gasoline prices and dropping prices in a few other categories hold down overall CPI. A mess for the Bank of Canada.
And there’s Still No Recession!