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1 minute ago, Dr. Strangelove said:

 

Shot meet chaser. 

Here's the kicker with that.  That data is months old.  What he's talking about is what's happening right now. And....I agree with him.  Right now our industry is extremely slow and I'm hearing that from a number of sources in the residential construction market.  The lone contrary information was a large home builder in Florida claimed they were going to increase the number of homes built next year.  But, that's projecting what they think they are going to do 6 months from now.

 

My fear is that the feds are going to be too late and too slow lowering interest rates.  Government data is notoriously late on stuff like this.  Then, they even go back and adjust a month or two after that.

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1 minute ago, BigRedBuster said:

Here's the kicker with that.  That data is months old.  What he's talking about is what's happening right now. And....I agree with him.  Right now our industry is extremely slow and I'm hearing that from a number of sources in the residential construction market.  The lone contrary information was a large home builder in Florida claimed they were going to increase the number of homes built next year.  But, that's projecting what they think they are going to do 6 months from now.

 

My fear is that the feds are going to be too late and too slow lowering interest rates.  Government data is notoriously late on stuff like this.  Then, they even go back and adjust a month or two after that.

You work in housing?

 

That's a difficult industry. Frankly, I have doubts that interest rates are going to be lowered significantly for another year. Inflation is going to be stuck at ~3% for that long, above the Feds target. Thus, mortgage rates are going to stay high for awhile. Those are just my two cents.

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4 minutes ago, Dr. Strangelove said:

You work in housing?

 

That's a difficult industry. Frankly, I have doubts that interest rates are going to be lowered significantly for another year. Inflation is going to be stuck at ~3% for that long, above the Feds target. Thus, mortgage rates are going to stay high for awhile. Those are just my two cents.

We sell products into the residential construction market.

 

The problem is, overall inflation could remain around 3% over the next year.   However, as seen in our industry, prices have dropped significantly over the past year and there's still more pressure to reduce prices due to lack of demand.  Did I mention demand is way down?  I'm also seeing that in lots of construction materials.  Lumber is way down too.  


There are obviously other areas of the economy that are propping up that inflation number.  My problem with that is, interest rates greatly affect housing and car sales the biggest when it comes to personal finance.  So, if other industries are propping up the inflation rate, keeping interest high is having not going to accomplish what they want.

 

I haven't been able to find good information on what segments are seeing high inflation vs low inflation.  Everything I can find is from early to mid summer.  That's too old of data for this conversation.

 

FYI US auto sales dropped significantly in October.

https://www.marklines.com/en/statistics/flash_sales/automotive-sales-in-usa-by-month

 

Housing starts and permits were down around 4% from a year ago.

https://www.census.gov/construction/nrc/current/index.html

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