Signed contracts in April tumbled 5.4% YoY (NSA). This is the biggest drop in pending home sales since August 2014 and comes on the back of last week's disappointing housing 'recovery' data as perhaps Fed- and Trump-driven mortgage-rate rises have finally hit the American 'pocketbook'.
This is the second monthly drop in a row (-1.3% MoM) and comes with downward revisions for the last few months.
Employment, new orders, and production all slowed notably in May according to the MNI Chicago PMI report. Printing at 55.2 - below the lowest expectation - this is the lowest level since January's collapse.
Forecast range 56 - 62 from 34 economists surveyed... oops!
Breakdown:
The collapse in volatility is finally trickling up to the big banks.
Moments ago, JPM CFO Marianne Lake speaking at a Deutsche Bank conference in New York, warned that contrary to expectations for an ongoing rebound in revenue and profits, the bank's second quarter revenue has been 15% lower from a year ago. And while she said that US economic figures are "solid, not stellar", she blamed the same thing that has been the nightmare of daytraders everywhere: collapsing volatility.
From the newswires
Authored by Thorstein Polleit via The Mises Institute,
The US bond market trades at a quite high valuation. For instance, the 10-year US Treasury bond presents a price earnings (PE) ratio of 43. In other words: It takes 43 years for the investor to recoup the bond’s purchase price through coupon payments; the bond market’s PE ratio even went up to 68 in June 2012 and July 2016, respectively.
Less than a week after Moody's downgraded China's sovereign credit rating, prompting an unprecedented currency response by the PBOC which as noted earlier resumed its crusade against Yuan shorts by sending CNH overnight deposit rates as high as 65%, on Wednesday another rating agency, Fitch, took aim at what many consider the weakest link in China's financial system: the nearly $9 trillion in shadow banking "assets", of which roughly $4 billion are Wealth Management Products.