Lead Story: All of the focus has been on China, Greece and even Puerto Rico over the past few weeks which has allowed potentially big economic news to fly under the radar. Forecast measures indicate US GDP picked up substantially in the 2nd quarter, after a mediocre winter.
Know when to hold em, know when to fold em….. The Greek people elected communist party Syriza led by Prime Minister Alexis Tsipras because they promised to say no to austerity but remain in the Euro Zone. Last Sunday, Greeks overwhelmingly voted down a new bailout agreement from Greece’s creditors because it contained strict austerity provisions – as Tsipras asked them to. This weekend, facing the specter of getting kicked out of the EZ because creditors essentially called their bluff, Tsipras folded and agreed to a rescue deal that was tougher than the original deal that was rejected in the refferendum a week ago. I’m sure that this will go over really well with the Greek people and Tsipras’ own party. In summary, Greece (and Europe and the IMF) just keeps kicking the can down the road.
Goods Versus Services: The price of goods may be falling but the price of services is rising so even though inflation is tame, US consumers are still feeling a pinch.
Devil’s Advocate: The Greek Butterfly Effect – why creditors can’t let Greece go and the real reason that central banks are so reluctant to raise rates.
On the Run: China’s rich are seeking refuge from their crashing stock market in foreign property markets.
Completely Un-Affordable: The housing market in San Francisco is a hot mess when it comes to affordability.
Painful Down Payment Math: Fascinating study on how long it takes to save a 20% down payment in cities with an without a college degree (also, with or without student loan debt). Be sure to have a strong drink ready when you look at the major California markets.
What a Shame: Last week we discussed how Hollywood celebrities aren’t exactly doing their part to conserve water. This week’s featured wasters are government buildings. Do as I say, not as I do is alive and well in California. As for the rest of us, don’t expect to be able to shower at state beaches.
Soap on a Rope: There will be a few less prison love stories in the coming months as showers are being restricted for inmates as well.
Catch 22: Celebrities and government officials aside, Californians are apparently doing such a good job at conserving water that water districts are now facing billion dollar losses due to reduced revenue. In other words, higher rates are coming your way.
RIP Golf: Golf is increasingly going the way of the dodo as younger generations simply don’t have the free time to play 18 holes. Japan’s answer to their dying golf industry is to build solar energy plants on abandoned courses.
Packed in Like Sardines: A French company has patented something called Economy Class Hexagon Configuration to pack airline passengers in tighter because flying coach apparently doesn’t suck enough already.
Cage Match? Billionairre Mexican drug lord Joaquin ‘El Chapo’ Guzman escaped from a maximum security prison an promptly took to twitter to taunt authorities and threaten Donald Trump who said that he would “kick his (Guzman’s) ass.” I, for one would buy the pay per view.
Chart of the Day
It’s baaaaaaack…. Get ready to hear an awful lot about raising the debt ceiling again.
Source: Wall Street Journal
Don’t ____ and Drive: This is SO much worse than texting and driving.
Going to Extremes: I hate baggage fees too but wearing 12 layers of clothes to avoid them, puking in a plane and then passing out might be going too far.
That Had Better Be a Great Sandwich: A pregnant woman in Arkansas stabbed her boyfriend over a grilled cheese sandwich because munchies.
100% Safe for Work: How a former porn star from Brazil is now making $5MM per year by posting videos of herself unwrapping children’s toys on YouTube showing only her hands. Seriously.
Landmark Links – A candid look at the economy, real estate, and other things sometimes related.
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