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On today’s show we discuss:
- A Wealth of Common Sense on student loan forgiveness
- Powells speech
- Laid-off workers quickly find jobs
- Want a lower mortgage rate? Take someone else’s loan
- NVDA earnings
- DLTR earnings
- TOL earnings
- Record sale for Mickey Mantle card
- Rich people are cutting back
- Disney’s new pricing magic
- Critics and fans have never disagreed about movies more
Pouring roughly half trillion dollars of gasoline on the inflationary fire that is already burning is reckless. Doing it while going well beyond one campaign promise ($10K of student loan relief) and breaking another (all proposals paid for) is even worse.
— Jason Furman (@jasonfurman) August 24, 2022
Powell can talk about the "pain" and "costs" of raising rates to bring down inflation, but the fact is the Fed has been hiking into a very strong labor market.
There's little reason (yet) to believe that they'd stay the course if nonfarm payrolls start to come in softer. pic.twitter.com/ynwLv5WNtP
— Brian Chappatta (@BChappatta) August 26, 2022
6. In other news, US corporate profits reached a new all-time high in Q2: surpassing the $2 Trillion mark for the first time in history.
h/t @ReutersJamie pic.twitter.com/mvj5L09cCJ
— Callum Thomas (@Callum_Thomas) August 27, 2022
Profit margins not yet signaling recession … aggregate U.S. corporate profit margins rose to 15.5% in 2Q22, strongest since end of 1950 pic.twitter.com/WBDXHcDEKr
— Liz Ann Sonders (@LizAnnSonders) August 26, 2022
These scatter plot charts show just how bad of a year 2022 has been for stocks and bonds.
Read more at our open-content Think BIG page: https://t.co/6gatCEwSUX pic.twitter.com/wG1UTgBmT4
— Bespoke (@bespokeinvest) August 25, 2022
The shift to WFH is the largest shock to labor markets in decades. Pre-pandemic WFH was trending towards 5% of days by 2022. Now WFH is now stabilizing at 30%, a 6-fold jump.
In America alone this is saving about 200 million hours and 6 billion miles of commuting a week. pic.twitter.com/XK4WVWXq3f
— Nick Bloom (@I_Am_NickBloom) August 29, 2022
The Prices Paid component of all 5 regional Fed surveys declined in August, and all but one (Richmond) is at its lowest level since at least January 2021.
— Bespoke (@bespokeinvest) August 29, 2022
Lumber another 52wk lowhttps://t.co/bqBUgCcprI @justLBell pic.twitter.com/iccDiTPYZM
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) August 25, 2022
🚨 The average 30-year fixed mortgage rate jumps to 5.95%. pic.twitter.com/SpAwMWOvKx
— Lance Lambert (@NewsLambert) August 29, 2022
My guess is Kevin Durant is locked into a 3% mortgage rate and simply doesn't want to buy a new house w/a higher rate so no trade
— Ben Carlson (@awealthofcs) August 23, 2022
Divorce is usually one the reasons people sell their homes (death, divorce, unemployment, etc)
I spoke with a divorce attorney (friend) yesterday and she told me couples are struggling with what to with their homes because they have 3% mortgage rates and plenty of equity.
— Bill McBride (@calculatedrisk) August 27, 2022
Investors are an important driver of US housing demand. While institutional investors and IBuyers get a lot of press they are a pretty small share of the overall market.
Individual and small investors (1-9 properties) are a much larger and faster growing share. pic.twitter.com/uqtsXZ6dEk
— 📈 Len Kiefer 📊 (@lenkiefer) August 23, 2022
HBO renews 'House of the Dragon' after more than 20 million watch first episode https://t.co/Hh9KvQhFhj
— CNBC (@CNBC) August 26, 2022
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