Markets in a Minute, Housing Market News, October 12, 2023

This week’s financial and housing market activity update…

The Economy

• September saw consumer retail spending rise for the 6th consecutive month, with significantly higher numbers than expected.
• There was nominal change in economic activity since the Federal Reserve’s September report. Consumer spending varied, particularly in general retail and auto sales. Tourism improved overall, bolstered by increased business travel. Loan demand at banks diminished slightly, but consumer credit quality remained stable. Manufacturing activity was mixed, but with a generally improved outlook. The near-term economic outlook was described as stable or slightly weaker, and expectations for the holiday shopping season varied among firms.
• Jobless claims moved lower last week once again. The tightening labor market may continue to work against the Fed’s efforts to bring down inflation further.

Housing Market News

• New residential construction in the United States increased in September, primarily driven by a rise in the construction of multifamily housing units. Additionally, permits for single-family homes saw an uptick.
  
• In September, the sales of existing homes reached their lowest level since October 2010, marking a decrease of over 8% compared to the previous year.
• Homebuilder sentiment declined in October, largely due to the negative impact of elevated mortgage rates on their confidence.

✅ Productivity tip: Prioritize strategically… To avoid setting yourself up for failure, limit your daily task list to around 5-9 important tasks, based on the principle of “The Magical Number Seven, Plus or Minus Two.” Another approach is the 1-3-5 rule, focusing on one big task, three medium tasks, and five small tasks. For better task prioritization, consider using an Eisenhower Matrix.