To: Brumar89 who wrote (277063 ) 12/3/2023 11:26:38 PM From: puborectalis 2 RecommendationsRecommended By
Respond to All this is good news for American households, as the cost to borrow money — from credit cards to mortgages — will gradually decline alongside everyday expenses. It's also a favorable setup for financial markets. Stock prices have contracted for nearly two years as bond yields have surged. But with rates stabilizing, if not falling somewhat, stock returns are poised to boom. If 2023 was about the hard work of stabilizing the economy, then 2024 is about enjoying the fruits of that labor.Coming in for a soft landing The signs of a well-balanced economy are everywhere. The most obvious example is the slowdown in inflation. The core consumer price index, the widely cited measure of inflation that strips out volatile categories such as food and energy costs, has risen since June at an annualized rate of 2.8%, roughly half the pace heading into the year. And there are clear signs of continued disinflation on the horizon: Wholesale auction prices for vehicles imply used-car prices could start to come down, private measures of rent prices suggest that housing inflation will continue to cool off, and an improvement in supply chains suggests prices for core goods outside cars, including washing machines and clothes, will ease.
