Earth already receives about the same energy from the Sun in an hour than humanity consumes in a year.
Solar panels just need to catch a tiny amount of it to power our entire civilization!
The mortgage rate has to fall to 5.5%, or the median priced home has to fall by 22%, or the median income has to increase by 28%, for housing to become affordable," according to Moody's economist Mark Zandi. ๐ก ๐ ๐๐
Home builder gross margins trending lower to flat YOY as of 3Q-2023 with a ton of regional variation.
~90% of Southwest builders say margins are 'mostly lower', followed by Texas builders at 52%. Interestingly, these are both regions where rate buydowns have been huge.
The median sales price of a new home in the US is $415k, only $5k higher than the median sales price of an existing home ($410k). This is the smallest price gap we've seen since 2005.
Mortgage rates back to 7%.
Meaning that the cost to buy a house in America is now approaching $2,700/month when including mortgage, tax, insurance, and maintenance.
Meanwhile, cost to rent is $1,850.
Biggest gap we've ever seen. Something has to break.
After a sizable decline from its peak in January 2022, Used Car prices are moving higher again. Manheim index is up 9% over the last 4 months and remains 54% higher than March 2020 levels.
The average American is struggling:
- 24.8 million delinquent consumer loans
- Savings rate near all-time lows
- Real wages have barely increased in the last 5 years
- Inflation still high
- 1.7 million layoffs in January
Today's #SquawkPod: A highlight from 2022, @PalantirTech CEO Alex Karp shares insight into how digital analytics has prevented a full-scale takeover of sovereign Ukraine.
LISTEN: https://t.co/zOMLGUFsdA
Long thread on $BABA: A friend asked this morning what I was doing with our portfolio position in $BABA (https://t.co/3pJtkBEDuA) given the news over the weekend. My reply was, โOnly play is to wait it out. Not buying, not selling. Just waiting.โ (1) ๐
Used car prices are now down 10% over the past year, the largest YoY decline on record with data going back to 2009. This was a leading indicator of higher inflation rates in 2020 and the recent downturn is likely a leading indicator of lower inflation rates to come.
$500 in 3650 C at open was worth $310,000 at todays peak.
The Fomo from today hits different
0.05 to 31.00 $SPX
speechless is an understatement
$2000 wouldโve turned to a million ๐