Global financial media last night this morningThe main headlines we are concerned about include:
Housing prices in the US have risen for May in a row, making it the most difficult to afford property market since 1984
Housing prices in the US have been rising for the fifth month in a row, and buyers are bidding in the hardest to afford market in decades.
According to S&P CoreLogic Case-Schiller housing price data, the national housing price index rose 0.7% month-on-month after seasonal adjustments in June.
While rising mortgage interest rates have pushed some potential homebuyers off the market, determined homebuyers are still in high demand, and they have to contend for extremely limited listings. According to Black Knight Inc., the rise in housing prices, driven by tight supply and rising borrowing costs, has made the current market the most difficult to afford housing market since 1984.
US consumer confidence fell more than expected in August, economic uncertainty suppresses optimism
Consumer confidence in the US fell more than expected in August, and pessimism about the labor market and lingering concerns about inflation dampened optimism.
According to data released by the World Large Business Research Association on Tuesday, the consumer confidence index fell from 114 in July to 106.1 this month. The median estimate of economists surveyed by Bloomberg was 116.
The status indicator fell to 144.8, the lowest level since November last year. The expected indicator, which measures consumers' outlook for the next six months, fell to 80.2. The indicator that measures inflation expectations for the next year rose slightly to 5.8%. Although consumers are somewhat relieved by the easing of inflation, prices that remain high continue to dampen market sentiment.
US discloses proposed new regulations, more banks will face long-term bond issuance requirements
In response to the turmoil in the banking sector this year, US regulators recently revealed a plan to strengthen supervision of medium-sized banks, requiring them to be more fully prepared for possible bankruptcies.
The plan disclosed by the US Federal Deposit Insurance Corporation (FDIC) does not mean new pressure on the banking sector, but rather to ensure smooth and quick disposal after banks fail.
The proposed rules revealed by the regulator on Tuesday require banks with assets of at least $100 billion to issue enough long-term bonds to cover capital losses in the face of severe pressure. Lenders also need to enhance their hypothetical disposal plan so that they can easily split if necessary.
Apple is scheduled to release the iPhone 15 series and the new smartwatch on September 12
Apple has set September 12 as the biggest product upgrade release date of the year. At that time, it will launch the iPhone 15 series and a new generation of smartwatches.
The company announced the event called “Wonderlust” through its official website and email. It will be broadcast online and offline simultaneously. The venue will be the Jobs Theater in Cupertino, California. The webcast will begin at 10 a.m. Pacific time.
Apple is under more pressure than before for this iPhone launch. The company's sales have declined for three consecutive quarters, and consumer demand for smartphones and other electronic devices is weak. The launch of this new product should help revive sales during the holiday season. Overall, most of Apple's revenue comes from iPhones and smartwatches.
Morgan Asset Management Strategist: Only a recession can reduce the level of inflation in Western economies
Karen Ward, a strategist at Morgan Asset Management, said that Western economies may not be able to escape high inflation without recession because the labor market is still too tight.
She said on Tuesday that such an outcome is likely because policymakers need to keep borrowing costs high. The former BoE economist now works as an adviser to Chancellor of the Exchequer Jeremy Hunt.
“The market's view is that we can see the entire Western economy achieve resilient growth, all of this inflationary pressure will disappear on its own, and the central bank can shift from austerity to easing,” she told Francine Lacqua. “But unfortunately this requires a weakening economy.”
Soaring US debt, economic data prompts traders to lower their bets on interest rate hikes
The number of job vacancies in the US fell to a low of more than two years in July. The decline exceeded expectations, providing further support for the view that labor demand is cooling down.
According to the Job Vacancies and Labor Mobility Survey (JOLTS) released by the Bureau of Labor Statistics on Tuesday, the number of job vacancies fell from 9.17 million in June to 8.83 million, the sixth decline in the past seven months. The resignation rate fell to 2.3%, the lowest level since the beginning of 2021, reflecting a decline in Americans' confidence in finding a job again under current market conditions.
Fewer job vacancies and higher labor force participation rates have made supply and demand in the job market more balanced, helping to curb wage increases. Despite falling demand for labor, the unemployment rate remains at a historically low level.