Wednesday, May 29, 2019

@22:00, , 5/28/19

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1

Trump and Biden Campaign Trade Jabs Over North Korea’s Remarks

Katie Glueck at NYT > Politics - 17 seconds ago
After the president sided with Kim Jong-un in mocking Mr. Biden’s intelligence, Mr. Biden let an aide rebut it instead of taking on Mr. Trump himself.
 
Trump does not think well.
 

Justin Amash, Under Attack for Impeachment Talk, Finds Mixed Support at Home

Emily Cochrane at NYT > Politics - 17 seconds ago
Representative Justin Amash, always a marginal Republican figure, finds himself on center stage for his view on the president’s conduct: hero to many, goat to many more.
 
I would rather be Justin Amash than his detractors.
 

Wednesday: Dallas Fed Mfg Survey

Calculated Risk at Calculated Risk - 18 minutes ago
From Matthew Graham at Mortgage News Daily: Mortgage Rates Are Great, But They Could Be Greater The world of mortgage rate analysis is both simple and complicated. On a simple note, rates are near long-term lows and they'll generally continue to follow the broader market for interest rates (which is largely based on US Treasuries, domestically). … The biggest issue--and the one that's most difficult to explain in simple terms--is that mortgages have not been doing a good job of keeping pace with Treasury yields lately. [*30YR FIXED - 4.0% - 4.125%*] emphasis added Wednesday: • At ... more » 
 
The banks are desperate to lend.
 

White House Insider Account Has Feel of an Outside View, and Prompts a Mueller Denial

Mark Landler at NYT > Politics - 2 hours ago
Michael Wolff’s second book on the chaotic Trump White House also delves into the work of the special counsel, whose spokesman denied one of its most explosive claims.
 
Politics are still entertainment.
 

More Than Patriotism on Their Sleeves: Military Patches Sport Trump Likeness

Eric Schmitt at NYT > Politics - 2 hours ago
A flap over politically themed patches worn by some American troops during President Trump’s visit of a warship in Japan has forced the Navy to review its policies.
 
Cults of personalty are not part of the command structure.
 

Former Navy Judge Named to Oversee Guantánamo Military Court

Carol Rosenberg at NYT > Politics - 2 hours ago
Progress in trying terrorist suspects has been scant. The last full-time person in the role was dismissed after considering plea deals in the Sept. 11 and the destroyer Cole cases.
 
Guantanamo prison should be empty.
The Republican party has not allowed the further release of prisoners.
 

On Politics With Lisa Lerer: Summer Predictions

Lisa Lerer at NYT > Politics - 2 hours ago
In the On Politics newsletter, bold predictions for what’s going to happen with the 2020 candidates this summer.
 
The primary race will simplify as it should.
 

Treasury Dept. Declines to Label China a Currency Manipulator

Alan Rappeport at NYT > Politics - 2 hours ago
The decision could avoid further escalating tensions between Washington and Beijing, which have grown heated after a breakdown in trade negotiations this month.
 
Trump does not try to think.
 

Transportation Secretary Failed to Sever Financial Ties to Construction Company

Eric Lipton at NYT > Politics - 4 hours ago
Elaine Chao’s ownership of stock in a company that sells materials used in highway building differs from the terms of her ethics agreement.
 
One must understand the contract.
Do not violate the terms.
 
10 

Real House Prices and Price-to-Rent Ratio in March

Calculated Risk at Calculated Risk - 6 hours ago
Here is the earlier post on Case-Shiller: Case-Shiller: National House Price Index increased 3.7% year-over-year in March It has been over *eleven years* since the bubble peak. In the Case-Shiller release this morning, the seasonally adjusted National Index (SA), was reported as being 12.6% above the previous bubble peak. *However, in real terms, the National index (SA) is still about 7.9% below the bubble peak *(and historically there has been an upward slope to real house prices). The composite 20, in real terms, is still 14.7% below the bubble peak. The year-over-year increase i... more » 
 
A limit may have been reached.
 
11 

Kamala Harris Wants to Require States to Clear Abortion Laws With Justice Dept.

Matt Stevens at NYT > Politics - 6 hours ago
Taking a cue from the Voting Rights Act, Ms. Harris’s plan would require some states to obtain federal approval before restrictions could take effect.
 
The Justice Department cannot be trusted to support abortion and other forms of contraception.
 
12 

For Second Time, One Republican’s Objection Delays Disaster Aid

Emily Cochrane at NYT > Politics - 6 hours ago
Representative Thomas Massie of Kentucky objected to a request on Tuesday to pass a $19.1 billion emergency relief package by unanimous consent, becoming the second House Republican to block final passage.
 
The objections appear tactical.
Trump needs his wall.
 
13 

Justices to Hear Case of U.S. Agent’s Shooting of Teenager Across the Mexican Border

Adam Liptak at NYT > Politics - 6 hours ago
The Supreme Court also issued a decision limiting suits against the police by people claiming retaliatory arrests for exercising their First Amendment rights.
 
The Republican party must not become the U.S. government.
 
14 

Trump Undercuts Bolton on North Korea and Iran

Peter Baker and Maggie Haberman at NYT > Politics - 8 hours ago
The disconnect between President Trump and his third national security adviser has sown confusion around the world about America’s foreign policy.
 
I would not be unhappy to see Bolton depart.
 
15 

Savior of G.M. Lordstown Plant, Hailed by Trump, Is a Corporate Cipher

Nelson D. Schwartz, Matthew Goldstein and Neal E. Boudette at NYT > Politics - 8 hours ago
The electric-truck venture hailed by President Trump exists almost entirely on paper and would need $300 million to get the factory running again.
 
Big talk and no money.
 
16 

Update: A few comments on the Seasonal Pattern for House Prices

Calculated Risk at Calculated Risk - 9 hours ago
CR Note: This is a repeat of earlier posts with updated graphs. A few key points: 1) There is a clear seasonal pattern for house prices. 2) The surge in distressed sales during the housing bust distorted the seasonal pattern. 3) Even though distressed sales are down significantly, the seasonal factor is based on several years of data - and the factor is now overstating the seasonal change (second graph below). 4) Still the seasonal index is probably a better indicator of actual price movements than the Not Seasonally Adjusted (NSA) index. For in depth description of these issues, see ... more » 
 
I do not need to purchase soon.
 
Sooner is better.  As soon as you can is best.  
 
17

Supreme Court Sidesteps Abortion Question in Ruling on Indiana Law

Adam Liptak at NYT > Politics - 11 hours ago
The justices upheld a law on the disposal of fetal remains, but declined to hear a case on whether states can prohibit abortions sought solely based on a fetal characteristic like sex or disability.
 
Abortion remains safe and legal.
Several states are frustrated.
 
18 

Dallas Fed: "Texas Manufacturing Expansion Continues but Pace Slows"

Calculated Risk at Calculated Risk - 11 hours ago
From the Dallas Fed: Texas Manufacturing Expansion Continues but Pace Slows Texas factory activity continued to expand in May, albeit at a slower pace, according to business executives responding to the Texas Manufacturing Outlook Survey. The production index, a key measure of state manufacturing conditions, fell six points to 6.3, indicating output growth decelerated from April. Most other measures of manufacturing activity also suggested slower expansion in May. The survey’s demand indicators fell but remained positive: The new orders index slipped seven points to 2.4, and the gro... more » 
 
The war on statistics continues.
 
19 

Case-Shiller: National House Price Index increased 3.7% year-over-year in March

Calculated Risk at Calculated Risk - 12 hours ago
S&P/Case-Shiller released the monthly Home Price Indices for March ("March" is a 3 month average of January, February and March prices). This release includes prices for 20 individual cities, two composite indices (for 10 cities and 20 cities) and the monthly National index. *Note: Case-Shiller reports Not Seasonally Adjusted (NSA), I use the SA data for the graphs.* From S&P: S&P CoreLogic Case-Shiller Index Shows Annual Home Price Gains Continue to Weaken The S&P CoreLogic *Case-Shiller U.S. National Home Price NSA Index, covering all nine U.S. census divisions, reported a 3.7% ... more » 
 
The market is getting ahead of itself.
 
20 

The Most Important Climate Change Graph You’ll Every See

Ian Welsh at Ian Welsh - 14 hours ago
This is why we won’t be stopping climate change, and why you must personally plan for it. We are not going to start mitigating at 5% this year. We are not going to start mitigating at 9% in 2029. These are political non-starters. They will not happen. For whatever reason
 
Money persists in seeking rent.
 
Ian Welsh is probably correct.
 
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