I’ve attended several networking events and read daily articles as it relates to Housing and the economy. Several are calling for a recession soon- so I figured I’d make a few observations.
We’ve all heard the “inversion” argument about long-term v short-term treasuries. What I haven’t heard is someone talking about the fact that in the past with previous inversion curves as recessionary indicators, the Fed was raising rates, not lowering them. Anyone with insight, I’m all ears, but there is something different in that regard.
I personally look for other signs of weakness as well, personal and business bankruptcies, consumer delinquencies (credit card, auto, student loan), mortgage delinquencies etc. So far- all green lights in these categories. Additionally credit availability, interest rates, capital raising success are all indicators of direction.
I think there is unanimous consideration among the greater economists out there that some form of recession is in our future. I think the fear of another catastrophic pull-back is over done. I’d recommend following Daren Blomquist- economist for ( Auction.comhttps://www.linkedin.com/posts/daren-blomquist-7b775a6_was-fun-to-show-up-in-the-ds-news-june-issue-activity-6542384439580856320-b5OI ) and checking out the overall trends in ownership v. renting real estate. All for Now- Go out and create your investing success!