Economic News Thread | 3Q Annual GDP 2.8%

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Wife and I over-extended ourselves a bit moving into our house last May. Luckily a new job helped ease the financial burden some but was really looking forward to refinancing when the time came. Now just need to decide how long to hold out to maximize the mortgage reduction given the proposed additional cuts this year and next.
Try to pay negative points when you refinance so that you do not have to come out of pocket and make sure you have no pre-payment penalty. As long as you stick to low costs and and no pre-payment penalty, you can refinance as many times as you like (save your own time and personal hassle). The banks are going to be overwhelmed by refinance customers in the next year, but there should be a lot of players jumping back into the market offering some good deals. I have found that Wells Fargo offers the best rates in my area -- especially if you can transfer to them a stock portfolio.
 
but the voters will not "feel" it before the election...
If Trump wins he will claim credit when the positive impact is being felt in February.
1. Rates will drop almost immediately on any adjustable rate like credit cards. So people will feel that.
2. It's a signal that inflation is over. There will still be fools who want prices to go back to 2020 levels, but this is the Fed clearly saying, inflation is done. So that's a talking point and it's an easy rebuttal to the GOP claims of massive inflation.
 
I know Republicans have been trying to emphasize inflation, but that issue seems to be losing some steam with the combination of Kamala replacing Biden and inflation subsiding. Gas prices hitting two-year lows is also helping, as many people equate gas prices to the state of the economy.

To me, there are a lot of parallels to 1984. Inflation was rampant in 1981 and 1982, and there was a lot of anger against Reagan. By 1984, inflation had cooled, the stock market was hot, and people were not that upset about the economy when they finally went into the voting booth in November 1984.
 
My older son and his wife are closing on their first house on Friday. I wonder if this rate cut will be able to be factored in for them. If not, i suspect they might be looking to refinance before too long.
 
Trump is active but he is first encouraging House Republicans to shut down the government …

 
And away we go …


"Mean while I will be doing the real work-still holding up Military appointments , until the Military does something smart " ( like monitor periods of female soldiers or whatever it is he wants)
 
but the voters will not "feel" it before the election...
If Trump wins he will claim credit when the positive impact is being felt in February.
He will say "Your savings interest rates are going down thanks to Harris. She's costing you money!!!!" which for folks my age is very true (when you arent taking out more debt but are savings focused). But it's ok cause this will ease tech job security issues
 
A rate cut was baked in, I don't think a 50 bps rate cut was baked in. My assumption is that there is some slight concern that the large rate cut is a signal that the Fed is troubled by the underlying fundamentals of the economy.
 
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