Economy

Scary Charts – 11.24.23

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Source: https://www.statista.com/chart/31306/countries-with-the-highest-annual-increases-in-consumer-prices/

I suppose this should make us feel better about higher prices in the US.

More good news – lithium is cheap again.

Lithium “Shortage” Bubble Implodes (Again), Price Collapsed 77% in a Year, as Demand and Production Both Surged – https://wolfstreet.com/2023/11/23/lithium-shortage-bubble-implodes-once-again-as-demand-and-production-both-surged/

Now all we need to do is find people who want and can afford to buy an EV.

Last month, Ford had laid off some workers building the F-150 Lightning electric pickup truck. Competitor General Motors also said it was postponing adding more production capacity for its electric Chevrolet Silverado EV citing slow-growing demand.

Ford battery plant is back on track but scaled down — https://www.cnn.com/2023/11/21/business/ford-battery-plant-downscaled/index.html

Average new electric vehicle prices are actually down by more than $14,000 compared with 2022, settling at around $50,683 on average, thanks to a combination of increased supply, the arrival of more affordable models and trim levels and aggressive price cuts by Tesla, the largest EV manufacturer in the US.

Cheapest Electric Cars for 2023 — https://www.cnet.com/roadshow/news/the-most-affordable-electric-cars-for-2023/

Did the Baby Boomers Ruin the Housing Market?

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Close to 40% of all mortgages are paid off in this country. That’s mostly baby boomers.

That generation has the ability to sell their homes that are up like 500%, ignore 7% mortgages and buy in cash when they relocate for retirement.

I guess that makes sense but I would blame the unhealthy market on so many other factors before ever getting to the boomers.

Here’s my list in no particular order: The Fed, HGTV, the pandemic, remote work, the government (for not incentivizing the building of more homes), the Great Financial Crisis (totally screwed up the homebuilders), NIMBYs and Taylor Swift (her tickets are so expensive no one can afford a house).

If we want to fix the housing market, we have to build more houses.

It’s as simple as that.

6 Questions I’m Pondering At the Moment – https://awealthofcommonsense.com/2023/09/6-questions-im-pondering-at-the-moment/

Agree.

Scary Charts – 10.22.23

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So that drywall mass produced home that sells for $1 million just went up from $4,519 a month to $7,016! That is a 55% increase in less than one-year. So we now have realtors struggling since they make money on high sales volume. You have commercial real estate getting absolutely smashed. Banks are in a tough spots since they made bets on a low interest rate environment. But now, that same home will cost you $2,497 more per month with no measurable increase in underlying value. The house does not have a built in chef, or unlimited childcare, or a Tesla that comes fully charged every day with no cost to you.

The Stalemate of the Century: Housing Facing an Existential Moment — http://www.doctorhousingbubble.com/the-stalemate-of-the-century-housing-facing-an-existential-moment/

Scary charts as promised from the same article:

Oklahoma.

Or California.

Even More Random Thoughts on Retirement – October 2023

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Source: https://www.statista.com/chart/31034/change-in-behavior-in-response-to-inflation/

Muscle loss and chronic disease

One of the most important parts of exercise programming, no matter who I am working with, is proper resistance training to build muscle strength. Some amount of age-related loss of muscle function is normal and inevitable. But by incorporating resistance training that is appropriate and safe at any ability level, you can slow down the rate of decline and even prevent some loss of muscle function.

The medical term for a condition that involves age-related loss of muscle function and mass is sarcopenia. Sarcopenia can begin as early as age 40, but it tends to be more common in adults age 60 and older. Sarcopenia is associated with a number of health issues such as increased risk of falling, cardiovascular disease and metabolic disease, among others.

In one of our team’s previous studies, we saw that otherwise healthy individuals with sarcopenia had issues delivering vital nutrients to muscle. This could lead to greater likelihood of various diseases, such as Type 2 diabetes, and slow down recovery from exercise.

Recent estimates suggest that sarcopenia affects 10% to 16% of the elderly population worldwide. But even if a person doesn’t have clinically diagnosed sarcopenia, they may still have some of the underlying symptoms that, if not dealt with, could lead to sarcopenia.

Steep physical decline with age is not inevitable – here’s how strength training can change the trajectory —https://theconversation.com/steep-physical-decline-with-age-is-not-inevitable-heres-how-strength-training-can-change-the-trajectory-213131

Reducing overall calorie intake may rejuvenate your muscles and activate biological pathways important for good health, according to researchers. Decreasing calories without depriving the body of essential vitamins and minerals, known as calorie restriction, has long been known to delay the progression of age-related diseases in animal models. This new study suggests the same biological mechanisms may also apply to humans.

NIH/National Institute on Aging. “Calorie restriction in humans builds strong muscle and stimulates healthy aging genes.” ScienceDaily. ScienceDaily, 13 October 2023. https://www.sciencedaily.com/releases/2023/10/231013150733.htm

When I said random thoughts I meant it.

Scary Charts – 07.07.23

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Americans today are lacking crucial savings needed for managing short-term emergencies and building long-term wealth. According to a rolling representative online survey among U.S. adults by YouGov, 27 percent of Americans had some savings below $1,000 as of May 2023, while 12 percent said they had no savings at all.

Savings: Quarter of Americans Have Few, One in 10 Have None — https://www.statista.com/chart/20323/americans-lack-savings/

Where Gen Z is Buying Homes

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At 22.59%, Salt Lake City has the largest share of mortgage requests from Gen Zers. Though the average mortgage amount in Salt Lake City is higher than in many of the nation’s other large metros, it’s a hot spot for younger homebuyers, likely owing to — among other factors — its strong jobs market and a good blend of urban and rural amenities.

After Salt Lake City, relatively inexpensive Oklahoma City and Birmingham, Ala., are the next most popular metros among Gen Z buyers. Respectively, 22.36% and 20.79% of mortgage requests in these two metros come from Gen Zers.

Most Popular Metros for Gen Z Homebuyers — https://www.lendingtree.com/home/mortgage/the-most-popular-us-cities-for-gen-z-homebuyers-ranked/

Where Are These People Coming From?

Is it the food? We have Chef Andrew Black of Grey Sweater, James Beard Best Chef Southwest – Andrew Black brings Best Chef: Southwest James Beard Award home to Oklahoma City – https://www.oklahoman.com/story/lifestyle/food/2023/06/05/james-beard-award-2023-winners-andrew-black-best-chef-southwest/70289770007/

Could it be the lower cost of living or because Oklahoma is producing 64 times more marijuana than licensed users consume – The Oklahoman

Nah, probably the catfish.