Housing
US new home sales down 7.7% yoy in Apr; median prices were flattish and should be flattish going forward. May data will come in this week.
US existing home sales was down 1% yoy in May, although median price rose 5.8% yoy. Sellers love their low mortgage rate.
Rental market looks still warm. Median rental price needs to go down.
Food & beverages
McDonald’s $5 meal shall provide a relief.
Starbucks has the new $5 or $6 combo. For $5, you shall get a tall iced or hot coffee + a croissant. This price is similar to China already (32 rmb, or $4.4).
Gas price
Gas price is lower than or similar to 2023 level.
Looks to me that inflation pressure is very manageable.
Time for $TLT, $IWM, and biotech etc. to shine.
And check Truflation: 2% is not far away.
