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"Inflation is coming down"

I'm not seeing any evidence of going into any kind of downturn in the suburbs. Evidence of some stabilizing in some segments and neighborhoods. Have a lot of supply in downtown areas for the first time since the financial crisis but what prices are doing there is mixed.
 
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Fed funds rate right now is at 5.25-5.5% and the long end of the curve is at 4.2-4.5%. There is a lot of room for cuts to the fed funds rate without any changes at the long end.

I wouldn't even be surprised if we saw the long end of the curve and mortgage rates move higher back towards 5% when they start cutting rates.
 
The market is expecting a rate cut in September but fiscally we are deficit spending $2 trillion per year. If Powell cuts the discount rate, and he should for various reasons, the inflation rate will speed back up.
 
Someone knocked on my door and there's a petition to recall this progressive
Terrel L. Shields said:
"The market" has been expecting a rate cut for 2 years.
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It's election time. The rate cuts are more possible before November.
Perfect rate cut time to help Biden.
 
Fernando said:
The rate cuts are more possible before November.
Perfect rate cut time to help Biden.
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Or perfect time to wait until after the election so as to not be accused of being political.
 
Terrel L. Shields said:
Or perfect time to wait until after the election so as to not be accused of being political.
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FED is independent from outside influence except for Trump who would openly criticize the FED.
Although independent, notice how rates would at least not increase prior to election. Not trying to get political.
 
I have been looking at new construction homes in Idaho and Texas for a possible 2025/26 move out of Oregon. Listing prices have been dropping for the past 6 months.
 
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