Reading Time: 5 minutes Housing has been one of the biggest inflationary costs this business cycle as there has been problems creating enough affordable housing (apartments) in cities because of zoning restrictions. Housing has been boosting core PCE, making it a key driver in the Fed’s decision to raise the fed funds rate. A plausible argument to make isCONTINUE READING

Reading Time: 5 minutes The US economy continues to outperform the rest of the world despite the fear of trade wars and with weakness in emerging markets and Europe. The chart below, using Haver Analytics data, gives an example of the stupendous U.S. growth. The current vertical increase is rivaling the improvement from 2010 to 2013 as there hasCONTINUE READING

Reading Time: 5 minutes Housing has been one of the biggest inflationary costs this business cycle as there has been problems creating enough affordable housing (apartments) in cities because of zoning restrictions. Housing has been boosting core PCE, making it a key driver in the Fed’s decision to raise the fed funds rate. A plausible argument to make isCONTINUE READING

Reading Time: 5 minutes The March BLS monthly jobs report was a disappointment in terms of total job creation as only 103,000 were added instead of the 175,000 expected. Furthermore, the report missed the lowest expectation which was for 112,000. It’s important to recognize this is a volatile data point. The February job growth was revised higher from 313,000CONTINUE READING