Are Investors Dreaming The Impossible Dream?

via Jesse Felder Eric Cinnamond writes, “Whether it’s extrapolating unsustainable earnings growth, trusting the Fed will always come to the rescue, or refusing to mark asset prices to market, investors in late-cycle booms have a tendency to believe the unbelievable. In …

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America’s housing dream collapses: More than half of homes sell below asking, rents plunge, vacancies soar, and even first-time buyers fear losing it all

Interest rates are stuck. Inventory is swelling. Buyers are gone. More than half of all homes now sell below asking. It’s the weakest housing market since 2012. https://finance.yahoo.com/news/housing-market-craters-56-homes-123114860.html Rents are falling, vacancies hitting records. National apartment rents dropped 0.8% year …

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Consumers are so demoralized by inflation and high rates that they’ve given up on saving for the American Dream and are spending money instead, economist says

Despite ongoing consumer pessimism, spending remains surprisingly robust. Economist Joanne Hsu, director of the University of Michigan’s consumer sentiment survey, provided insights into this paradox, attributing it to a shift in consumer behavior driven by high prices and interest rates. …

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