Three of the Federal Reserve’s regional surveys on manufacturing activity are now reporting outright contractions and the other two are falling quickly toward contraction. … READ MORE >
Economics
Preparing for a tsunami of imported goods
The recent reopening of China’s factory floors and the easing of its supply chain bottlenecks have prompted discussion about the ability of the U.S. supply chain to absorb what will be a tsunami of imported goods. … READ MORE >
New home sales rise unexpectedly despite higher mortgage rates
The increase was driven by more supply coming online, pushing prices down for the first time since February. … READ MORE >
Initial jobless claims remain above pre-pandemic level
New claims inched down by only 0.9% last week, to 229,000, from an upwardly revised 231,000 in the prior week. The pre-pandemic level in 2019 was 218,000. … READ MORE >
The American housing deficit and what it takes to close it
At the end of last year, the U.S. was about 3.5 million homes short of the number required to maintain a stable market. … READ MORE >
Midyear update: An economy on knife’s edge as inflation bites
The supply, demand and energy shocks cascading through the American economy are sufficient to cause an end to the business cycle over the next six months. … READ MORE >
Fuel oil prices reach a tipping point
Rising fuel costs have reached a tipping point, forcing many households to reduce their spending on necessities and threatening to slow the overall pace of consumption. … READ MORE >
Changes in Fed policy and their impact on the economy
The Federal Reserve’s changes to short-term interest rates will affect the stock of money, which directly determines the direction of the real economy, output and employment. … READ MORE >
Chart of the day: Industrial production hits a record amid signs of a slowdown
Industrial production in the United States hit a record in May, but signs of a coming economic slowdown emerged in the report released by the Federal Reserve on Friday. … READ MORE >
Chart of the day: U.S. housing starts and permits plunge
Housing starts fell by 14.4% to 1.549 million on an annualized basis in May, the lowest point in more than a year. … READ MORE >