Personal Economics 101

The first look at Q1 Gross Domestic Product, the broadest measure of economic output, showed a quarter-over-quarter (q/q) annualized rate of expansion of 6.4%, versus the Bloomberg consensus estimate of a 6.7% gain after the unrevised 4.3% increase in Q4. Personal consumption rose by 10.7%, compared to forecasts of a 10.5% gain, and following the unadjusted 2.3% increase recorded in Q4. On inflation, the GDP Price Index came in at a 4.1% increase, above expectations of 2.6% gain, and versus the unrevised 2.0% rise seen in Q4, while the core PCE Index, which excludes food and energy, moved 2.3% higher, compared to expectations of a 2.4% increase, and following the unadjusted 1.3% gain in Q4. Weekly initial jobless claims came in at a level of 553,000 for the week ended April 24, compared to the Bloomberg estimate of an acceleration to 540,000 from the prior week's upwardly revised 566,000 level. The four-week moving average declined by 44,000 to 611,750, and continuing claims for th...

I live on the outskirts of Austin, TX, and just received my notice of property value, and coupled with market statistics I get every month, I see my home has increased in value 25.9% in the last year. Astounding, to say the least! The Austin housing market is hot, as a many markets are around the U.S. My neighborhood was built four years ago, and the same model as mine across the street sold for more than 30% of original prices.  Mortgage rates are low, and inventory is tight. It's a sellers market. The supply-and-demand curve is working as predicted. The coronavirus pandemic raised the temperature considerably on the nation’s housing market. The past year has been marked by soaring prices, logic-defying offers over asking price, and steep competition as sellers have been hesitant to put their homes up for sale. But the heart-pumping, bank account–depleting housing market frenzy could die down—at least a little—in the coming months as more sellers list their properties and inventor...

See also: The State of Health Care at the end of 2020