Talking about durable goods decreasing, GDP, consumer confidence, the values of homes on golf courses, how quickly homes are selling and more…
New orders for manufactured durable goods in December decreased $1.0 billion or 0.4% to $227.0 billion, the U.S. Census Bureau announced today. This decrease, down two consecutive months, followed a 4.8% November decrease. Excluding transportation, new orders increased 0.5%. Excluding defense, new orders increased 1.7%. Transportation equipment, also down two consecutive months, drove the decrease, $1.7 billion or 2.2% to $73.7 billion.
Not good, weak, bad, bleh.
Real gross domestic product (GDP) increased at an annual rate of 1.9 percent in the fourth quarter of 2016, according to the “advance” estimate released by the Bureau of Economic Analysis. In the third quarter, real GDP increased 3.5 percent.
Also not good, weak, bad and bleh. After all the recent positive economic news, these 2 negative reports especially sting.
Consumers expressed a higher level of confidence January than any other time in the last dozen years. The post-election surge in confidence was driven by a more optimistic outlook for the economy and job growth during the year ahead as well as more favorable economic prospects over the next five years.
Consumers also reported much more positive assessments of their current financial situation due to gains in both incomes and household wealth, and anticipated the most positive outlook for their personal finances in more than a decade. Consumers have become more convinced that the stronger economy would finally prompt the Fed to increase interest rates at a quicker pace, which caused one-in-five consumers to favor borrowing-in-advance of anticipated increases in mortgage rates, the highest level in more than twenty years.
Overall, the post-election surge in consumer confidence was based on political promises, and not, as yet, on economic outcomes. Moreover, over the past half century the surveys have never recorded as dominant an impact of partisanship on economic expectations. When the same consumers were re-interviewed from six months ago, the survey recorded extreme swings based on political party affiliation, with Democrats becoming much more pessimistic and Republicans much more optimistic. Such divergences will ultimately converge since consumers hold economic expectations to be useful decision guides, which will require both sides to temper their extreme views.
Interesting how they say this surge in confidence is due to nothing more than promises. Once the honeymoon wears off, it will be interesting to see where consumer confidence is.
Golf courses around the country may face an uncertain economic future, but the homes adjacent to them continue to command higher prices from prospective buyers, according to a new study of real estate transactions in South Florida by faculty at Florida Atlantic University.
Real estate is all about location. But what percentage of buyers want to live on a golf course?
Civilization has come at the cost of glaring economic inequality since the Stone Age. The sole exception, in his account, is widespread violence – wars, pandemics, civil unrest; only violent shocks like these have substantially reduced inequality over the millennia. Widespread violence and disease have been the most successful factors in reducing economic inequality over thousands of years…
Amazing how many warnings we are getting about economic inequality lately.
I wonder if these warnings are just paranoia or we should prepare for social unrest?
REALTORS® reported that properties typically stayed on the market for fewer days than in 2015, according to the December 2016 REALTORS® Confidence Index Survey Report, a monthly survey of REALTORS® about their sales activity and local market conditions. In 2016, properties stayed on the market for 43 days (50 days in 2015). The length of time properties are on the market has fallen as demand has outpaced the inventory of homes for sale. In 2011, properties were typically on the market for 97 days.
This is talking about the entire U.S. In 2016, homes in Anderson, Oconee and Pickens Counties sold in 47 days (median). Compare this to 59 days in 2015 and the 134 days back in 2011.
This is the median for 3 counties and does NOT mean your home will sell this quickly. It might but that depends on many different factors and if you have questions please Contact Me!
The America of today has lost faith in its own superiority. It has become a regressive country that is turning its back on the world. If you leave Washington, D.C., behind and travel through the country, from Alabama to Alaska, you will find that the American Dream has been lost. The country is no longer proudly leading the way.
Interesting article from a German perspective. It is easy to see the problems or shortcomings of others but very hard to see our own faults.
America has become more divided and it seems that people cannot even begin to consider a viewpoint that differs from their own. And that really concerns me. United we stand, divided we fall…
Great article IF and only IF you can consider the viewpoint of another with an open mind.
For a few hours on Jan. 31, McDonald’s will give Boston its first “Big Mac ATM,” which is exactly what it sounds like. McDonald’s franchisee Vince Spadea called it a “really just a fun way to be modern and progressive.”
But restaurants have been attempting to automate the fast-food business for more than 50 years—and not just the part where a cashier hands over your cheeseburger.
As more and more jobs become automated, who will be left with an income that enables them to buy stuff or services?
Recent studies are discovering that each generation is becoming increasingly stupid. A study from Iceland has highlighted a downward spiral in human intelligence. The genetics firm in Reykjavik found that groups of genes that predispose people to spend more years in education became a little rarer in the country from 1910 to 1975.
There will be those that say this isn’t happening here and it must be something unique to Iceland. Could it be that technology has started making humans lazier and weaker?
Sorry for all the unhappy or pessimistic stuff. But that is what happens when you read the Ugly But Honest News!