ECONOMICS

Authored by Mike Shedlock via MishTalk.com,

Greg Ip says the conditions for recession are not in place. I disagree. And I show where and how he went wrong.

The chart itself explains where Ip went wrong. See if you can figure it out.

“This Doesn’t Look Like Recession” Says Greg Ip

Please consider This Doesn’t Look Like Recession. Here’s How One Could Happen.

Background on the McKelvey (Sahm) Rule

Edward McKelvey, a senior economist at Goldman (more…)

China’s consumer prices rose faster than expected in July, driven mostly by a surge in food/pork prices, even as core inflation continued to sink, raising concerns over persistent deflation in the world’s second-largest economy.

The country’s CPI rose 0.5% YoY In July year on year, the National Bureau of Statistics said on Friday, beating the median forecast of a 0.3%. The rise was the biggest since February, when prices grew 0.7%, and outpaced the 0.2% rise in June. Food price (more…)

The Fed's rate hikes were supposed to slow down the economy and, thanks to soaring interest rates, lower prices and make housing more affordable. That did not happen, and instead housing is now the least affordable it has been in US history.

And while an entire generation of potential buyers will be forced to rent indefinitely, the flip side is that anyone who has been lucky enough to buy a house, is celebrating on a day real-estate brokerage Redfin reports that the total value of (more…)