A continued rise in mortgage rates will impact potential home buyers and refinancers, but it is refinancers who are most likely to scrap their plans altogether. Meanwhile though, a new cloud appeared on the economic horizon which could discourage home buyers as well.
The Fed is feeling better about the economy because they perceive it to be on steadier footing than at any time since the crash. But as I see it, there's an important difference between steady-footing and actually getting up and running ahead.
Those data that are reported tend to possess what I've described as an "Alice in Wonderland" quality. In light of this, it is fair to suggest that any official data on Iran's inflation be taken with a grain of salt. So, how can this problem be overcome?
When people repeat the myth about the courageous steps Ronald Reagan took to fight inflation, don't buy it. Instead tell them about Carter's record for which you can cite data from the Fed itself and legislative chapter and verse.
Those obsessing about deficits never cared so much about deficits. They use deficits and debt to further their shrink-the-government agenda. In that context, the fact that the deficit numbers no longer support their four-alarm-fire messaging strategy is but a minor inconvenience.
Regardless of our dreams, we still must contend with the uncertainty of whether we will live one decade or three decades in retirement (the more the better in my view), as well as whether our family will need our financial support or whether we will need theirs.
There has been a lot of talk about a rebound in the equity and real estate markets helped along by the Fed's free money. That much is for sure the truth; but the evidence of a viable and sustainable recovery built on free-market forces just isn't there.
Each turn of the cycle brings tighter global connectivity and integration, everything riding on hair trigger algorithmic trading seeking to squeeze out the last drops of advantage. Many believe this interdependency has reduced the risk of catastrophic failure.
Nominal wages for incumbent workers are still pretty sticky. If you're lucky enough to have a job, think about your own case. I suspect you haven't seen much in the way of raises, but has your salary actually been cut in nominal terms?
There's no mystery about why the Fed wants to keep interest rates low. Who is the biggest loser when the Fed keeps rates artificially low by purchasing $85 billion of securities with newly-created credit every month? Savers are the big losers in this rigged game.
After a short but bitterly fought, insult-laden campaign, Chavista standard-bearer Nicolás Maduro defeated challenger Henrique Capriles, thus assuring continuity in Venezuela after the death of President Hugo Chávez last month.