Posted on 12/06/2022 7:53:28 PM PST by SeekAndFind
Great follow up. Personally… hoping to use it for m advantage and get a reasonable property.
That’s awesome! Down with the CCP! Freedom for the Chinese!
There are a lot of misconceptions out there about how supply chains work, and the importance of the economies of scale in freight transportation. It costs a heck of a lot less to transport a TV or new vehicle component 8,000+ miles across an ocean in a shipping container than to put it on a truck and deliver it 100 miles away here in the U.S.
/sarc, in case the bitter, dripping sarcasm isn't obvious.
Great posts, BTW
If people see uncertainty in their financial future, they will defer buying stuff. They will tell themselves “I can get another year’s use out of my coat/toaster/phone/tv/etc”.
You need to buy food and gas, you need to pay your utility bills. All else can be deferred.
.....most people don’t understand that the current, prevailing interest rate “on the street” (meaning what the average guy or gal pays NOT WHAT WALL STREET pays) dictates whether or not and WHEN you buy big ticket items. Just one example is a house. I live in my house because I pounced on low interest rates fixed for 30 years. My interest rate is 2 7/8. If I had to pay todays “market rate”........A. I wouldn’t buy and B. I couldn’t afford it because my interest rate today would mean my payment would be twice as much.
So, spiraling interest rates are going to beat down financial activity across the board but particularly houses.
Very recessionary news. Isn’t the US consumer our mighty economic engines, what keeps our economy afloat? You know, buying stuff, buying foreign/Chinese/Asian stuff. Not making stuff here.
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