Tesla Price Cuts, Followed by other Automakers, Plus Surging Incentives, Hit Average Transaction Prices, after Toxic Spike by Wolf Richter • Sep 12, 2023 • 145 Comments Detroit automakers hugely overstocked, ready for a strike.
Investment-Grade Corporate Giants Suddenly Sell Huge Amounts of Debt to Front-Run even Higher Long-Term Yields by Wolf Richter • Sep 11, 2023 • 175 Comments Further pressuring long-term Treasury yields, amid fears of bad inflation “surprises.” Share buybacks a lot more expensive, but no problem either.
Mortgage-Rate Buydowns by Homebuilders Are Now All the Rage to Prop Up Sales, Lowering Effective House Prices in a Big Way, but Don’t Get Picked Up by House Price Data by Wolf Richter • Sep 10, 2023 • 279 Comments Appraisers have not yet caught on to it either.
“Unrealized Losses” on Securities Held by Banks, Oh Dearie, the Whole Schmear: +8%, to $558 Billion by Wolf Richter • Sep 8, 2023 • 257 Comments How do you lose 47% on 30-year Treasuries? Buy at auction in Aug 2020. Or carry them at purchase price and hide the “unrealized loss” in the footnotes.
Fed Balance Sheet QT: -$105 Billion in August, -$864 Billion from Peak, to $8.1 Trillion, Lowest since July 2021 by Wolf Richter • Sep 7, 2023 • 125 Comments It shed 24% of the Treasury securities it had added during pandemic QE, footprint in ballooning Treasury market shrinks.
My Favorite Recession Indicator: The Next Recession Moves Further out of Sight by Wolf Richter • Sep 7, 2023 • 221 Comments There will be a recession, there’s always a recession eventually. But we’ll just have to keep watching for it.
Accelerating Inflation without Economic Growth: Bank of Canada Holds Rate at 5.0%, with Bias to Tighten Further. QT Continues by Wolf Richter • Sep 6, 2023 • 94 Comments The BoC already shed 50% of its QE assets, and the shedding continues.
Gasoline Prices Rise Year-over-Year for First Time since Feb 2022: CPI Inflation to Feel the Heat this Year by Wolf Richter • Sep 5, 2023 • 109 Comments “Disinflation” already ended.
Crude Oil WTI Jumps to Highest since November, as SPR Gets Refilled, Saudi Arabia & Russia Extend Production Cuts by Wolf Richter • Sep 5, 2023 • 113 Comments “Disinflation” honeymoon was nice, thank you, but it’s over.
Construction Spending for Factories Soars, after Decades in the Doldrums by Wolf Richter • Sep 3, 2023 • 131 Comments Driven by manufacturing plants for technologically advanced, high-value products. Automation is the great equalizer.
