You'd expect the stock market to go up and not down if that was the case. The unemployment numbers are very much still within range.
We need a recession to discourage people from overpaying for garbage housing, lol.
US jobless claims accelerating quickly. Shows weakness in the economy. Market did a 180 on the news. VIX jumped 11% in just one hour.
Good thing the fed waited all this time to cut rates, risking a recession after grinding the housing market to a halt for the past 18 months.
Nope, we need to build housing to stop that, not have a recession and artificial scarcity. Interest rates are not the right tool to solve that problem. Nice try though!We need a recession to stop people from overpaying for garbage housing, lol.
Nope, we need to build housing to stop that, not have a recession and artificial scarcity. Nice try though!
I'd love to stop overpaying for garbage housing, but that's all that has been allowed by local authorities who only listen to property owners that want to preserve their gains at the expense of society as a whole. But what I also know is that people becoming unemployed via a recession and not being able to afford their garbage housing would also be a bad thing.Nope, we need to build housing to stop that, not have a recession and artificial scarcity. Interest rates are not the right tool to solve that problem. Nice try though!
Can you explain why housing is the one item in all of economics where increasing the supply doesn’t start to satisfy demand and lower prices? New housing is expensive, but reduces the bidding wars on existing stock, bringing prices down.Building more would be helpful... but only in theory. Since new construction is too expensive to have any real impact on existing prices.
Only in theory? How about in practice. Austin has built a ton and real prices have fallen.Building more would be helpful... but only in theory. Since new construction is too expensive to have any real impact on existing prices.
Can you explain why housing is the one item in all of economics where increasing the supply doesn’t start to satisfy demand and lower prices?
But people are paying those sky high prices, so they must be affordable to someone.Like I said, the prices are too high on new construction to have any real impact on existing.
Edit: See nVidia GPUs.
Even high end stuff makes a difference. You live here too so you know there’s a bunch of small houses built in 1910 that need work and are worth a million bucks anyway. I happen to love my small old house but I could get a whole lot of quality new construction instead.But people are paying those sky high prices, so they must be affordable to someone.
We could just allow developers to build at all levels of housing instead of creating conditions where only high-end stuff pencils put.
That is just a lie developers like to tell you.Like I said, the prices are too high on new construction to have any real impact on existing.
Yep. Someone can buy those new million dollar condos. They'll either buy one of those, or they'll buy a crappy older place for 3/4 of the price and renovate it.Even high end stuff makes a difference. You live here too so you know there’s a bunch of small houses built in 1910 that need work and are worth a million bucks anyway. I happen to love my small old house but I could get a whole lot of quality new construction instead.
We could just allow developers to build at all levels of housing
On the other hand, my leading indicator for recessions is flashing. I use the condition of gas pumps to predict recessions. More out of order pumps are a harbinger of recessions. Gas stations are currently cutting back on maintenance of their pumps so a recession may be coming.
Yes. They can't because governments have added arbitrary restrictions that prevent cheaper methods of construction (or doing things that lower costs, such as faster development time). But again, people are still scooping these units up, so it's affordable to someone. In the Boston metro area, there are a lot of people with high paying jobs. They'll either scoop up the new stuff or outbid people on the older, crappier stuff. It works the same in many other popular places.That's why new construction is that much more expensive - they can't. Well, if they want to turn a profit. It pretty much has to be "luxury".
-20.41%Intel crashes 11% after hours. 😞
Edit....now down 18%!
I think the fact that the latest CPUs have instability issues as well is not helping.