Lead Story When oil plunged in value from above $100 to about $45 several months ago, many (including yours truly) opined that it would be a net benefit to the economy. Indeed, many consumers in non-energy heavy regions are doing better economically. However, a new study by Goldman Sachs found that the decline in energy investment has actually outweighed gains from consumer spending. In related news, bond king Jeff Gundlach says that the Fed has overshot on their economic projections and won’t actually raise rates in 2015.
Can’t Touch This: Private Equity firms are paying up for high advance rate loans from funds that banks won’t go near.
It’s All Relative: Here is a cool map of what $100 is worth in each state. Conclusion: it’s painful to live in California but it could be worse. You could live in Venezuela where hyperinflation and economic collapse have devastated caused the bolivar to plunge. How bad is it? Here are 10 everyday items that now cost more than the monthly minimum wage there.
If You Can Fog A Mirror…. You can probably get a car loan. Welcome to subprime 2.0.
Believe it Or Not: Young workers are actually doing pretty well when it comes to pay raises.
Cause for Concern? Commercial real estate prices have been rising so quickly that they are now drawing the attention of the Federal Reserve.
Party Like it’s 2005: Builder sentiment is now at the highest level of the last decade.
Strategy Shift: After going on a buying binge several years ago, Blackstone is planning on selling 1,300 of the single family homes that it owns in Atlanta.
Fun with Numbers: Just how sensitive is housing demand to down payment requirements and mortgage rates? The answers might surprise you.
The luxury market in Seattle is benefiting big time from the tech boom and the fact that prices in other tech heavy markets like San Francisco and Silicon Valley are higher than the balls on a giraffe.
FAIL: A scammer posted a fake story about Twitter being acquired on a fake website that looked like Bloomberg that fooled a bunch of people (and news tracking algorithms). The stock spiked 8% before anyone realized it was a scam.
Buggy Whips: Taxicab medallion lenders are on the ropes as cabs in the face of competition from Uber, Lyft and other ride sharing services.
Chart of the Day
Source: The Economist
F&%k You: Here’s a map of the most popular curse words by state.
Virtual Reality: Led by startups like Oculus Rift, virtual reality is set to become the next frontier in entertainment technology. I’ll give you one guess as to which entity will likely be leading the way. That’s right, porn.
Prime Day: Amazon offered a promotion called Prime Day earlier this week. The company claimed that the sale would be bigger than Black Friday (aka the Special Olympics of Capitalism). There may very well have been been a bunch of good items but there was also a bunch of crap.
Crazy Cat Lady Swag: Now you can bejewel your cat’s ass with something called Twinkle Tush.
Landmark Links – A candid look at the economy, real estate, and other things sometimes related.
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