10-OCTOBER 27-2021

Fiscal Year ProjectionsGood morning.
There’s a lot of paperwork and costs involved with buying a home.  That’s largely kept corporations from using them as an investment.  However, that changed following the housing crash when it became possible to buy foreclosed homes in bulk.
That trend has continued in the past year, with some companies buying and renting out homes, and others, like Zillow Group (Z), simply buying, fixing up, and flipping.  That increased investor demand has helped home prices rise substantially, up nearly 19 percent over the past year.
That’s good news for existing homeowners, but it does make it more difficult to afford housing in general.  Just as companies were slow to get into the space, extricating them before they buy up the market and turn the country into a nation of renters will also take time, effort, and energy.

Now here’s the rest of the news:

Inflation Is Here to Stay, Gold Is a Winner
“The Fed openly said it has a flexible approach to inflation, and it’ll let inflation run hot.  And that’s a risky decision because it is hard to get inflation under control once it starts running hot… And that leads to higher asset prices, in particular defensive assets like gold.” –John Deane [Read More]

October 27, 2020

DiversifyGood morning.
Market commentators have warned about pre-election volatility for months.  It’s finally here, with just a week to go until the voting stops (and, no doubt, the recounts and lawsuits start).  Oddly, the drop has occurred just as the polls started to show a tightening race between former Vice President Joe Biden and incumbent President Donald Trump.
Given how elections can result in substantial changes in tax policy and regulations, the fact that markets were fine with a potential “blue wave,”but are now having second thoughts, may be more out of fear of more Covid-19 lockdowns this winter rather than the election.

Now here’s the rest of the news:

 

October 27, 2019

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