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Everyone Is Trying To Time The Top Of The Market

A report from the Erie Times-News. “November bought some relief for buyers as median sale prices fell 2.9% to $330,000, the largest monthly decline since the beginning of the pandemic, according to the November National Housing Report from Re/Max.”

The New York Post. “Leonardo DiCaprio’s former West Village bachelor pad just got another price chop.It’s now asking $7.5 million — far less than the $10 million DiCaprio paid for the sleek pad back in 2014. (If that sounds bad, just think about the penthouse triplex. It once asked $50 million but last sold for $14 million.) DiCaprio sold his bachelor pad for $8 million to Michael Viola.That means DiCaprio took a $2 million hit on his investment while Michael is now listing for half a million less than what he paid for the property in 2016.”

From Eastsider LA in California. “Here are some examples, followed by a breakdown by neighborhood, of recent price cuts on homes, condos, apartments and other Eastside properties.”

From Bisnow Boston in Massachusetts. “The Boston hotel market had an occupancy rate of 58% and an average daily rate of approximately $210 while revenue per available room, or RevPAR, was $121, down 36% from November 2019, according to preliminary data. Boston remains at the back of the hotel recovery pack, along with other major metros like New York City, San Francisco and Washington, D.C., said Pinnacle Advisory Group Vice President Sebastian Colella.”

“New supply injects new demand but also negatively impacts hotel performance metrics, Colella said. ‘We are experiencing above-average supply growth at a time when demand is extremely low,’ he said.”

From Postmedia in Canada. “As Ottawa takes baby steps towards addressing the role of money laundering in Canadian real estate, Postmedia columnist Terry Glavin wrote about a little-noticed story uncovered last month by Coastal Front, an independent Vancouver investigative journalism outlet. For years, it’s apparently been routine for the City of Vancouver to accept property tax payments of up to $50,000 via literal bags of cash. ‘There was no regulation requiring staff to report any of the weird transactions to anyone,’ wrote Glavin, noting that the trend was only noticed after a city councillor bumped into a man at city hall carrying a shopping bag full of loose money.”

From Mortgage Professional Australia. “The surge in property listings has started to balance the market and ease buyer urgency, resulting in reduced prices from vendors who are hoping to get a sale before the year ends. Properties in both Sydney and Melbourne have soared in recent months, according to Domain. The Parramatta region saw the biggest jump in November, recording an 88% increase from its number of listings in September.”

“Meanwhile, Melbourne’s inner south – Hampton, Brighton and Sandringham – experienced the most increases at 67%. With lessened competition for homes, more than one in seven vendors in Sydney’s premium suburbs were found to have sliced asking prices by $203,315, Domain reported. ‘During lockdown, the biggest issue we had was that hardly any homes were on the market, which is what drove prices to the ridiculous level they reached … then heaps more stock came on to the market, which probably softened things a little,’ said Mark Vella, director at Starr Partners Blacktown.”

“As such, Domain said unsold homes over the Christmas period would have to be ‘appropriately priced’ as it competes with another batch of new homes in 2022. More agents are set to handle transactions over the holidays to accommodate the sudden increase in supply. Ray Fayad, group principal of Laing+Simmons Parramata, Granville and Oatlands, said buyers and sellers are keen to get deals done over the quieter period. ‘It’s come in just before Christmas, so we’ll be rolling our listings all the way through. We won’t be taking a break … which is not normal, but I think we’re going to have to,’ Fayad said. ‘Everyone is trying to time the top of the market.'”

From Bloomberg. “A top performing distressed debt investor says he’s avoiding China Evergrande Group, citing risks from the developer’s heavily discounted asset disposals and liabilities that may not be fully reflected in its balance sheet. Zhang Zhijun, chairman of private fund manager Beijing DingNuo Investment Management Co., said his firm has not bought Evergrande bonds since May after its previous holdings matured.”

“‘We once tried to gauge the recovery ratio of Evergrande onshore bonds, but we gave up buying them as it has excessive wealth management products and financing off its balance-sheet,’ Zhang said. ‘Mutual fund houses and asset managers are dumping large amounts of onshore property developer bonds, which quickly slumped to record low levels.'”

“He said he questions whether healthier property firms would be capable of acquiring projects from distressed developers. ‘The sales downturn is a common issue across the sector, for both state-owned and private firm.'”

The Epoch Times. “Recently, the Chinese Communist Party (CCP) announced that the two highest-ranking authorities of Guangzhou were removed from their positions for ‘the massive removal of Banyan trees in the city,’ as reported by local media. However, analysts have suggested that the two officials’ connection with the distressed real estate developer Evergrande may be the actual reason for the unconventional dismissal.”

“At the 60th session of the 15th Standing Committee of the Guangzhou Municipal Council, the committee announced that it had ‘accepted Mayor Wen Guohui’s resignation request.’ Furthermore, on the same day, the CCP approved the ‘removal of Zhang Shuofu’s position as Guangzhou’s CCP Secretary’ and that ‘he would be given other duties,’ as reported by the Guangdong provincial media.”

“In an EBC news program, Taiwanese news commentator Li Zhenghao suggested that it’s highly implausible for the CCP to remove its own officials ‘just for cutting down some trees in the local area,’ and the dismissal was clearly affected by the Evergrande crisis.”

“‘Simply put, the Evergrande is too big to fall,’ Li said, ‘With trillions of yuan, interconnecting hundreds to thousands of banks, the Evergrande crisis could generate a huge domino effect covering the entire financial sector of China, rendering one-third of all bank loans into bad debt.'”

This Post Has 96 Comments
  1. ‘the Evergrande crisis could generate a huge domino effect covering the entire financial sector of China, rendering one-third of all bank loans into bad debt’

    Is that a lot?

    ‘We once tried to gauge the recovery ratio of Evergrande onshore bonds, but we gave up buying them as it has excessive wealth management products and financing off its balance-sheet’

    Translation= China is a mickey mouse operation, like K-da:

    ‘For years, it’s apparently been routine for the City of Vancouver to accept property tax payments of up to $50,000 via literal bags of cash’

    1. Translation= China is a mickey mouse operation, like K-da:

      Unlike the canucks they have a huge and well stocked military, and unlike ours, theirs is competent. They even have stuff we don’t have.

    2. ‘Simply put, the Evergrande is too big to fall,’

      Wow…the experts are starting to parrot what we’ve been saying for months now.

      Congratulations on catching on so fast!

    3. “With trillions of yuan, interconnecting hundreds to thousands of banks, the Evergrande crisis could generate a huge domino effect covering the entire financial sector of China, rendering one-third of all bank loans into bad debt.”

      They’ll have to line-up the bank executives 3 or 4 deep to make the firing squads more efficient.

    4. China is the world leader in money printing and financial alchemy. I have absolutely no idea how they have been able to print and overbuild to the extent they have. It is absolutely mind-blowing. It’s like they could just pave over the whole planet if they wanted to.

      1. High profile economists of our time have openly endorsed Bubblenomics. They see the increases in employment, but they ignore the increases in debt, the phony net worth increases in assets valued by the margin.

        The standard of living once upon a time was increasing without bubbles.

  2. ‘the penthouse triplex. It once asked $50 million but last sold for $14 million.) DiCaprio sold his bachelor pad for $8 million to Michael Viola.That means DiCaprio took a $2 million hit on his investment while Michael is now listing for half a million less than what he paid for the property in 2016’

    Hotcakes, hotcakes, get em while they’re red!

  3. ‘New supply injects new demand but also negatively impacts hotel performance metrics, Colella said. ‘We are experiencing above-average supply growth at a time when demand is extremely low’

    I haven’t had much time for CRE lately with all the shack crater. So why are you building more hotels? Money burning a hole in yer pocket and you need yield?

  4. ‘During lockdown, the biggest issue we had was that hardly any homes were on the market, which is what drove prices to the ridiculous level they reached … then heaps more stock came on to the market, which probably softened things a little’

    Heaps more? Where did all these airboxes come from? Australia, like K-da is a silly country when it comes to reporting on RE. It wasn’t that long ago they were telling us tales of woe with 40% a$$ poundings and off plan gamblers losing everything except some liabilities.

  5. For years, it’s apparently been routine for the City of Vancouver to accept property tax payments of up to $50,000 via literal bags of cash.
    Another formerly 1st world country turned banana republic.

  6. With lessened competition for homes, more than one in seven vendors in Sydney’s premium suburbs were found to have sliced asking prices by $203,315, Domain reported.

    Is that a lot?

    1. Today is Thursday, December 23rd and Joe Biden is not the legitimately elected president of the United States.

      The 2020 election was stolen.

    2. President Joe Biden hit back against critics who say his Build Back Better Act would increase inflation in the U.S., saying on Tuesday that the bill would help families buy basic necessities like food and medicine, and that he still sees a path forward for the legislation.

      The lies that this pig and his globalist buddies spew are nauseating. The minute that Manchin opposed it, the mainstream media headlines were “poor people will starve to death. Nevermind the fact that this legislation has NOTHING to do with helping the poor. In fact, it will make their lives even more expensive and miserable than they are already.

      1. “Goldman Sachs and others said if we don’t pass Build Back Better, we’re in trouble because it’s going to grow the economy. Without it, we’re not going to grow. And what happened? Stock prices went way down—took a real dip,” Biden said Tuesday.”

        The stock market? Goldman Sachs? Hah! I thought this was about poor people, Joe. Oh, that’s right, you’re a lying pants shitter.

  7. “‘Simply put, the Evergrande is too big to fall,’ Li said, ‘With trillions of yuan, interconnecting hundreds to thousands of banks, the Evergrande crisis could generate a huge domino effect covering the entire financial sector of China, rendering one-third of all bank loans into bad debt.’”

    Gosh, what happens when developers or banks that are “too big to fail,” actually do?

    1. Past experience suggests that talk of “systemic risk” and “too big to fail” plants the seeds for spreading losses across the financial system to individuals who took no part in and gained nothing from the insane speculative gambling binge that led to the crisis.

      “Privatize profits, socialize losses” is the banker’s operating principle.

  8. 70 Per Cent of London’s COVID Hospitalisations Diagnosed After Being Admitted For Other Ailments

    by Paul Joseph Watson
    December 23rd 2021, 5:10 am

    “Astonishing fact. 70% of London’s so-called “COVID hospitalizations”are diagnosed several days after admission for other ailments,” she tweeted.

    The figure is important because a so-called ‘surge’ in London hospitalisations for COVID is being used as a justification to lobby for further lockdown restrictions on the British public.

    “They are NOT COVID patients. A positive test 8 days after admission means the hospital basically gave the patient COVID.”

    https://www.infowars.com/

        1. Ok, so I heard some censored Drs talking about how this testing for Omicron is bogus. And the new tests under Emergency Use are just as bad as the one used for months and months that they have discontinued now.
          Another Dr said that these tests don’t determine the different mutations.
          So, one of my biggest complaints has been all along is that if the testing isn’t really accurate , and its produces a bunch of false positives, than is this Science.
          Also, another Dr said they are going to start producing the technology of the fake Covid vaccine in regular flu shots.
          So, I’m just putting in summary some of the stuff I heard last night.
          Also Dr Zelenko has issue a statement that he’s concerned about being assassinated, and they are going to be coming down even harder on censoring Drs disputing the Narratives, going after their medical licences, etc.

      1. Vermont Emergency Rooms Overwhelmed With Asymptomatic People

        As I’ve said, the Psyop is working. Since when do people with no symptoms of illness go to the ER?

        The whole point of “get tested for Christmas get togethers” was to create a panic. “Oh noes, I tested positive, even though I feel fine. I need to go to the ER!”

        When I had the coof I didn’t bother with the ER, because my symptoms were very mild. If anything, I knew that doing that would probably make things worse.

        1. Agreed. I’ve heard that people have pulse oximeters at home and test themselves so frequently that they start hyperventilating and end up in the ER thinking they’re dying.

          If Omicron doesn’t wake everybody up to the overreactions that have been occurring for two years, then I don’t think anything will. Seeing thousands of peopled queued up in NYC to get tested doesn’t make me optimistic.

          1. I’ve heard that people have pulse oximeters at home

            I have one. I was always in the high 90’s. I stopped checking after a couple of days.

  9. in the 07 debacle we heard “debt jubilee” from the Harvard-trained crowd. Oh, the Marxists are trying it, with the student loan payment-deferments. we saw the mortgage and rent moratoriums as well as auto and credit card payment postponements. I believe they screwed up their hopes for a “Debt Jubilee” but look for more free-money in the form of debt-giveaways. It’s “FREE” . . . .

  10. Oh dear….

    ‘Our home is worthless’: Houses demolished in Australia’s sinking suburb

    https://www.news.com.au/finance/real-estate/brisbane-qld/our-home-is-worthless-houses-demolished-in-australias-sinking-suburb/news-story/d8e31ddc6b937f3923e10a021ff92c37

    It was a street of dream homes – now they’re being demolished leaving homeowners angry, out of pocket by hundreds of thousands and pointing fingers.

    Residents who spent all they had on property in a new build suburb on the Gold Coast say they are living in a nightmare after their dream homes began to shift and crumble around them and sewerage lines started leaking human waste into gardens.

    One resident said the area was a shoddily built “ticking time bomb” and scores of homes would now have to be demolished.

    1. The ADV China video I mentioned also covered sink holes. They had some videos showing people falling into holes that opened beneath their feet, cars dropping etc. They said the construction was such crap nobody studied the dirt underneath. They just threw stuff up and if it falls down, oh well. Also said it was seriously covered up. One train flew off the rails and the CCP just buried it right there, with the bodies still in it.

      1. “One train flew off the rails and the CCP just buried it right there, with the bodies still in it.”

        Ben, please post for us a link to that video.

        1. Why Are Bridges in China Falling Down?

          https://www.youtube.com/watch?v=gTPFdJQlm0k

          16:27. They didn’t have a video of the train, they just related the story. One of the flying sections of highway that tipped over was on this video. They pointed out there was no rebar sticking out of the broken ends. Trucks piled up below.

      2. Anyone remember that skyscraper that began to shake in China and the workers ran out of it screaming? What became of it?

    2. “Nonetheless, documents show council did sign off that all necessary works had been completed. Mr Lyall has claimed council did not check to see if the drains were in place.”

      A clear sign of “brown envelopes.”

      The photos are revealing, lush tropical green foliage. A quick climate look-up: “The climate in Gold Coast is warm and temperate. Gold Coast is a city with a significant rainfall. Even in the driest month there is a lot of rain.”

  11. Oh dear…sorry about your skybox investment.

    Developer of 1,396ft NYC megatower on Billionaires’ Row denies the building is faulty in $125 million lawsuit brought by the board over flooding, creaking walls and malfunctioning elevators

    https://www.dailymail.co.uk/news/article-10337927/Developer-1-396ft-NYC-megatower-Billionaire-Row-denies-building-faulty-125-million-lawsuit.html

    The developer of 432 Park Avenue, the tallest apartment building in New York City that sits on Billionaires’ Row overlooking Central Park, has responded to a $125 million lawsuit that was filed by the condominium’s board earlier this year.

    The lawsuit alleged that the building suffered from leaks, flooding, creaking walls and faulty elevators.

    1. I watched two videos yesterday. One was why do bridges keep falling down in China by AVD guys. The other was an architectural channel on how half of billionaires row are empty. This tower is one of those. They focused on construction, etc, but the short of why was basically, ‘cuz there’s a sh$tload of money out there!’ That’s it. Almost no one lives there, they are falling apart, all sorts of cra cra going on with defects. I stopped half way but didn’t see anyone ask, wouldn’t it have been better if these never happened?

        1. That’s half of it, the first half. The second half involves mass stupidity which is of more importance because this mass stupidity allows for the generation of the first half.

        1. About six months ago Louis was posting some videos showing how “NYC is back” or some such nonsense. I used to live in NYC. It is a ghost of its former self. Every one of his videos riding around NYC shows that the car traffic, foot traffic, etc is probably down 80% from what it used to be. I also lived in Westchester with access to a car. I never dreamed of actually trying to drive into and through Manhattan. Now it’s wide open in every video.

      1. “…wouldn’t it have been better if these never happened?”

        Or better yet, ‘would this massive waste of human and material resources have happened in the absence of central planners’ grandiose wealth creation schemes?’

    1. “Four men and a woman were arrested in connection with the carjacking of Rep. Mary Gay Scanlon in Philadelphia on Wednesday.”

      Hopefully the five misunderstood victims were not forced to post any kind of burdensome bail and were released on their own recognizance free to continue their law abiding lives absent the odd car jacking, looting, assault or murder as citizens or undocumented immigrants whichever the case may be of this borderless Woke country formerly known as the United States of America.

        1. The Philadelphia Museum of Art is gorgeous and, for me, worth the drive to get to. However, the famous Rocky Steps are falling apart. Last time I was there pre-pandemic, a young vibrant couple was arguing. The female half of the couple picked up a loose piece of flat slate from the steps and threatened the male half with it. That says a lot about both the steps and the City of Brotherly Love.

          I had wanted to go back to the museum again at some point, but I think I’m going to wait until the pandemic is fully over and the days are a lot longer. I don’t want to drive there at night.

      1. Democrats who get robbed or carjacked should be treated as accessories, not victims.

        Pro-defund the police Dem State Senator Kimberly Lightfoot says she ‘begged for her life’ during recent carjacking – and says she’s been traumatized by the crime

        https://www.dailymail.co.uk/news/article-10340721/Illinois-state-senator-Kimberly-Lightford-speaks-trauma-carjacked-gunpoint.html

        Illinois State Senator Kimberly Lightford has opened about her ‘trauma’ after being carjacked at gunpoint this week, revealing that she begged the trio of armed robbers not to shoot her before her husband opened fire on the criminals and telling her to flee.

        Lightford, 53, a Democrat who has been slammed by conservatives as being ‘soft on crime’ for seeking to defund police departments in Illinois, was not physically harmed during the incident, a portion of which was caught on a Ring camera in suburban Chicago on Tuesday.

        The carjacking in Illinois took place less than a day after Congresswoman Mary Gay Scanlon, 62, a fellow progressive Democrat from Philadelphia, was robbed at gunpoint.

        1. “…before her husband opened fire on the criminals and telling her to flee.”

          A Democrat with a gun. Oh my, the hypocrisy.

  12. “November bought some relief for buyers as median sale prices fell 2.9% to $330,000, the largest monthly decline since the beginning of the pandemic, according to the November National Housing Report from Re/Max.”

    “Poof” goes the equity. Now you have it, now you don’t.

    It is imperative that anyone who possesses home equity realize that they must rush down to their local bank branch and beg the banker to cash out any remaining equity before it completely disappears.

    Come visit my bank and receive a free game of “Pin The Tail On The Donkey”.

  13. The Democrats – a criminal enterprise masquerading as a political party – have extreme antipathy toward any honest or capable law enforcement or judicial officials who might threaten their ability to operate their patronage and graft rackets. Hence they staff such positions with lowlife scum such as this gentleman, who will undermine & subvert the law rather than uphold it.

    Los Angeles County DA’s chief of staff busted for public intoxication

    https://nypost.com/2021/12/23/la-county-das-chief-of-staff-busted-for-public-intoxication/

    The Los Angeles County district attorney’s chief of staff was busted on suspicion of public intoxication and allegedly threatened to put the arresting officer on a so-called list of bad cops, authorities said.

    Joseph Iniguez, 36, was arrested during a Dec. 11 traffic stop in Azusa, police said in a statement Tuesday.

    The top aide for Los Angeles County DA George Gascón was booked for allegedly being under the influence of drugs or alcohol after a Telsa driven by his fiancée was stopped for making an illegal U-turn, prosecutors told the Orange County Register.

    1. At what point in medical school do they teach that it’s not right to give boosters to kill children?

      First year, second year?

  14. Trent Twomey, National President of the Pharmacy Guild of Australia was stabbed to his death today while leaving his home. Twomey, a proponent of Covid boosters every six months, leaves behind a wife who shouldn’t really miss him. The attacker is at large.

    When it starts hitting the collaborators it will end.

  15. Tony Blair says “if you’re not vaccinated… you’re an idiot.”

    Remember when they tried to lure us with with free beer, gift cards and even million dollar lotteries if we got jabbed? And when the local news showed long lines of people eager to get the kill shot?

    Now it’s insults, threats of job loss, severe illness and that holiday favorite: death. And of course, down under, concentration camps.

    Of course, now there are no lines to get jabbed. The local Safeway pharmacy still has a huge sign reminding you that appointments are not needed, and that they can jab you right there and then.

    I had an idea for a prank: go get a flu shot, then after they step away, pretend to pass out on the floor. Then they discover you and panic, and run to get help. Then you get up and leave.

    Of course, it now appears that flu shots will be mRNA based, so scratch that idea.

      1. mRNA flu shots move into trials

        COVID-19 provided an opportunity to show that mRNA vaccines can work. Now, drug companies are racing to apply the technology platform for influenza.

        https://www.nature.com/articles/d41573-021-00176-7

        Last I heard they are no better than the old school flu shot. Doesn’t mean they won’t become the new standard because “reasons”.

  16. The local rag is claiming the Omicron is being detected in local waster water.

    Probably another psyop lie. For a virus that is allegedly tearing its way through the populace, I don’t of anyone here who has recently contracted the coof. I mean, if everyone is getting it, surely I would know of someone.

    1. Likely not a lie. They’ve been analyzing waste streams for COVID almost since the beginning of COVID. Weeks ago, South Africa said that the amount of Omicron found in the waste streams was increasing faster than the Omicron found in testing. (They must have some way to calculate this.) It means that there were a lot of Omicron cases which were either asymptomatic or too mild for testing. Another good sign.

        1. “My Red Bull keeps coming down with it.”

          I’d like to say a few words about a guy I know, a friend of mine. His name is Red Bull. And he has the heart of a giant, and that rare form of courage which allows him to kid himself and his opponent: Covid.

          I love Red Bull. And I’d like all of you to love him too. And tonight, hit your knees, please ask God to love him.

          Speech from “Brian’s Song”

          https://youtu.be/OfI_HT39eeM

  17. The real crime is that this pathetic blubbering female was ever made a cop in the first place. Not only a cop, but a supervisor.

    Kim Potter is found GUILTY of first and second degree manslaughter for shooting dead Daunte Wright, 20, when she ‘mistook her gun for her Taser’ during traffic stop: Minnesota cop is held without bail and faces up to 25 years in prison

    https://www.dailymail.co.uk/news/article-10333147/Kim-Potter-jurors-reach-trial-outcome-day-four-deliberations.html

  18. The race card: last refuge of the incompetent and unqualified

    Kamala Harris Claims She Would Get Better Media Coverage If She Were a White Man

    https://pjmedia.com/news-and-politics/robert-
    spencer/2021/12/23/kamala-harris-claims-she-would-get-better-media-coverage-if-she-were-a-white-man-n1544051

    When even that indefatigable cheerleader for the hard Left, the New York Times, admits that a Leftist politician is in trouble, you can be sure that the trouble is very deep. The Times’ lengthy exploration of “the frustrations of Kamala Harris” was sympathetic, but the article’s subtitle summed up the crisis Harris is experiencing: The vice president’s allies are increasingly concerned that President Biden relied on her to win but does not need her to govern.” Of course, the people who are running things don’t need Old Joe to govern, either, but that’s another story. Harris, in any case, has a ready explanation for why she is failing at one of the easiest jobs in the world: racism, of course. Come on, man! What else could it be?

          1. Oh I know. I’m just saying that they’re black too, and they don’t seem to have any problems getting favorable media coverage.

  19. Hey, it beats a pod.

    People are horrified by this man’s extremely tiny apartment

    https://www.news.com.au/finance/people-are-horrified-by-this-mans-extremely-tiny-apartment/news-story/ee2314c923001d217ca509eecd731b01

    Viral footage of a man’s extremely tiny apartment in New York City has left viewers shocked at exactly how much you get for your money.

    One TikTok user showed the world just how much you actually get for an apartment in New York City’s sought-out West Village neighbourhood.
    And it’s not much.

    In a 46-second clip, the user — who goes by the name AJ Webber — offered a tiny tour of his Manhattan pad and gave prospective New Yorkers a glimpse into what they might have to endure if they decide to make a move to the Big Apple.

  20. https://www.extremelyamerican.com/post/gates-fauci

    Complaint filed in International Court on Dec 6, 2021 against Gates, DrFauci, Big Pharmacy, Boris Johnson, Klaus Schwab, Dr Daszak, and others.

    Charges of numerous violations of Nuremberg Codes, genocide, crimes against humanity, war crimes and crimes of aggression.

    46 page complaint filed by Dr Michael Yeadon, Lawyers and activists
    Don’t know how much weight International Court has, but this is something.
    Remember Dr. Yeadon was the retired Plizer Scientist /Vice President that was giving warnings about the vaccines.

    1. Bloomberg
      U.S. Consumer Spending Buffeted by Fastest Inflation in Decades
      Reade Pickert
      Thu, December 23, 2021, 10:15 AM·4 min read
      U.S. Consumer Spending Buffeted by Fastest Inflation in Decades

      (Bloomberg) — U.S. consumers took a breather in November a month after an early holiday spending surge, but that pause risks becoming more lasting if Americans pull back when faced with both the fastest inflation in decades and the omicron variant.

      Purchases of goods and services, after adjusting for higher prices, were little changed following a solid 0.7% gain in October. The government’s figures were the marquee of a pre-holiday burst of economic reports Thursday that showed stronger orders for durable goods, increased new-home sales and firmer consumer sentiment.

      Underlying the spending figures are a series of crosscurrents. Buffeted by headlines about snarled supply chains, many Americans started their holiday shopping earlier than usual this year, helping to explain the strong advance in the prior month.

      But consumers are also facing the fastest inflation in decades. With every trip to the grocery store and gas pump eating away a little more of their paychecks, people have less left over for discretionary purchases. And the new omicron variant of Covid-19 threatens to curb the incipient rebound in outlays for services.

      The report showed Americans are spending more on essentials amid the pickup in prices. Money spent on housing and utilities increased last month, as did outlays on gasoline and food. The data showed inflation-adjusted spending on services rose 0.5%, the most in three months, while goods outlays dropped 0.8%, the first decline since July.

      The personal consumption expenditures price gauge, which the Federal Reserve uses for its 2% inflation target, increased 0.6% from a month earlier and 5.7% from November 2020, the highest reading since 1982.

      The data come on the heels of a hawkish pivot by Fed officials, who have been under pressure to take action against overheating prices. Last week the central bank announced it would accelerate the end of its asset-buying program, and new interest-rate projections indicated policy makers favor raising borrowing costs by three-quarters of a percentage point next year.

      https://finance.yahoo.com/news/u-consumer-spending-buffeted-fastest-181543661.html

  21. Meanwhile south of the border, there is going to be a recall vote on the Mexican president (AMLO).

    I strongly suspect that the US government has been helping the opposition on this matter, as the Brandon administration seems rather hostile to Mexico and AMLO in particular; probably because of his nationalist and populist policies. I think that the globalists want him out and replaced with a more “compliant” chief executive, even if said replacement leans more to the right.

    If AMLO is recalled, a new prez will need to be elected, as Mexico does not have a vice-president. This is of interest to me as I have been considering Mexico as a “bug out” destination. Should a globalist stooge take his place, I will have to reconsider.

    1. Mexico as a “bug out” destination

      Granted I’m not privy to your personal circumstances, but there’s gotta be something better for you stateside. Given our circumstances, redder states aren’t an option.

      1. I’m not thinking of bugging out anytime soon. But if the unthinkable happens and the US becomes a true dictatorship (as opposed to the “soft dictatorhip” it is now) then there won’t be any red states left.

        The person most likely to replace AMLO is Claudia Sheinbaum, the current mayor of Mexico City. She is a globalist, a Mexican Jacinda Arden. She is also a member of the tribe, which would normally make her unelectable in Mexico, and yet she the the Globalist’s choice.

        1. At this point, polls are in AMLO’s favor, but the vote isn’t until April. Mexico has a very secure electoral system, with voter id cards, assigned precincts, no vote by mail. etc. That said I’m sure the globalists are looking for a way to stuff the ballot box in Mexico.

        2. anytime soon

          I didn’t realize until yesterday that your employer is part of the Vaccination Credential Initiative. That would worry me and perhaps explain some of your concerns.

          1. If the leftists are ever successful in disarming the American people, it will be open season on deplorables. All the wickedness that the BLM and Antifa types say they want to do to heritage Americans will become more than idle threats. That will be, in my humble opinion, bug out time.

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