Market Trends: Real Estate, Finances, And Economy

News and trends of the economy, market, and real estate

It’s only been a month, but oh my, we missed you! With Mother’s Day just around the corner, it’s time to check out the latest updates and insights from the world of economics and real estate.

MAY 2024 HOT NEWS

  • Although the American economy is slowing down, the US Treasury Secretary says it is “firing on all cylinders.”
  • Scientists say that climate change can lead to people earning almost 20% less.
  • Alphabet and Microsoft lifted S&P 500 futures overnight.

TODAY’S TOPICS

  • Luxury real estate prices hit new record highs.
  • 3 top best-performing S&P 500 stocks: What are they?
  • Mother’s Day sets records: This is what Americans spend billions on.
  • Personal master chef for kids: Who is it?
  • How an American bought a one-dollar house in Italy.

QUIZ

1. How much did Americans spend on Mother’s Day last year?

  1. $35 billion
  2. $28 billion
  3. $105 million
  4. $11 billion

2. How many  Americans chose flowers as a gift for Mother’s Day?

  1. 72%
  2. 91%
  3. 45%
  4. 11%

3. Which movie might illustrate this picture?

  1. Little Women (2019) 
  2. Mamma Mia! (2008) 
  3. Mother’s Day (2010)
  4. Stepmom (1998)

(You will find the answer below)

REAL ESTATE

Current mortgage rates

  • 30-year – 7.30% 
  • 20-year – 7.06%
  • 15-year – 6.71%
  • 10-year – 6.56%

Real estate news

  • Home mortgage frenzy fizzles as interest rates rocket past 7%! 30-year fixed-rate mortgage interest rates surged to 7.24% from 7.13%, marking a notable increase. This uptick contributed to a 1% decline in mortgage applications for home purchases during the week, with figures standing 15% lower than last year. Learn more
  • Skyrocketing: Luxury real estate prices smash all-time highs. Luxury real estate sales surged over 2%, marking the most robust annual growth in three years. The median price of luxury homes soared to a record-breaking $1,225,000. Experts attribute the trend to factors like interest rates and supply. Learn more
  • An American bought a $1 home in Italy and invested $446,000 in its renovation. Chicago-based financial advisor Meredith Tabbone purchased a $1 home in Sambuca di Sicilia, Italy. Over four years, she invested $446,000 in renovations, inspired by the discovery that her great-grandfather hailed from the same town. Learn more

U.S. ECONOMY

Inflation

  • Current US inflation rate: 3.48%

Unemployment

  • Current US unemployment rate: 3.80%

FED rate

  • Fed funds interest rate: 5.5%

U.S. economy news

  • USA’s economic engine sputters: 1.6% growth in Q1 falls below expectations. The US economy slows in Q1, and GDP grows by 1.6%, below expectations. Fed remains cautious on rate cuts despite the slowdown. Even though consumer spending remains strong, the market reacts: The Dow is down 500 points, the S&P 500 falls 1.3%, and the Nasdaq drops 2%. Learn more
  • Yellen: The US economy is strong. US Treasury Secretary Janet Yellen expressed confidence in the economy despite a lower-than-expected first-quarter GDP. She stated it is “firing on all cylinders” and highlighting the strength of the labor market as the strongest in 50 years. Learn more
  • American Airlines hits pause on loyalty program. American Airlines is postponing changes to how travelers earn miles and Loyalty Points when booking flights. Instead of starting on May 1st, these changes will take effect on July 11th. The updates will require passengers to book directly through American Airlines or approved channels to earn rewards, potentially excluding some third-party booking sites. Learn more

GLOBAL OUTLOOK

  • Global recovery progresses steadily, with regional variations. The world economy is set to grow at 3.2% in 2024 and 2025, the same as 2023. Advanced economies will see a slight growth increase while emerging markets slow down. Global growth in five years will be at its lowest in decades, at 3.1%. Inflation will decline steadily, with advanced economies reaching targets faster. Learn more
  • Climate change could cost the global economy $38 trillion annually by 2049. Extreme weather will damage agriculture, reduce productivity, and devastate infrastructure. As a result, this will influence how much people earn. Scientists warn of a 19% income reduction globally by mid-century due to planetary warming. Learn more

STOCK EXCHANGE

Stocks recommended by experts

3 top best-performing S&P 500 stocks in April 2024 based on one-year results:

  1. Super Micro Computer Inc (SMCI) – 676.46%
  2. NVIDIA Corp (NVDA) – 203.79%
  3. Constellation Energy Corporation (CEG) – 142.56%

Learn more

Stock market news

S&P 500 futures rose overnight, lifted by Alphabet and Microsoft. S&P 500 futures rise as Alphabet and Microsoft soar on solid earnings. Alphabet jumps 12% after robust Q1 results. Microsoft climbs 4% on beating expectations for Q3. These wins may counter Thursday’s market losses due to sluggish economic data and inflation worries. Learn more

COFFEE BREAK

Fun facts

3 top facts about  Mother’s Day:

  1. Mother’s Day is the third highest-selling holiday for flowers and plants.
  2. Mother’s Day sees the most phone calls of any day, with around 122 million calls made on the second Sunday of May each year.
  3. Mother’s Day typically ranks as the busiest day for restaurants, with 48% of people planning to dine out.

Learn More

Fun news

  • A majority of parents take on the role of mater chef for their kids.  The survey polled 1,083 parents with children aged 3 to 10 and found that three in five parents cook different meals for their kids if they don’t like what the rest of the family is eating. Learn more
  • Americans name their children after characters from the movie Interstellar. Actress Jessica Chastain mentioned that some couples have named their daughters “Murph” after her character in Interstellar.” Still, according to babynames.com, the name isn’t trendy and hasn’t made it into the top 1,000 names for boys or girls in any year of this century. Learn more

Investor of the month

Moís Cherem Arana

Moís Cherem Arana is a well-known Mexican investor and entrepreneur. In 2007, Moís Cherem Arana co-founded Enova, an initiative focused on e-learning in Mexico’s underserved communities. Expanding his impact, he later co-founded Bedu to address job skills gaps through blended learning approaches. 

Arana’s dedication to social entrepreneurship earned him the esteemed Social Entrepreneur of the Year award from the Schwab Foundation in 2012, recognizing his commitment to leveraging technology and education for societal betterment. Learn more

QUIZ ANSWERS

  1. $35 billion
  2. 72%
  3. Mamma Mia! (2008)

CONTENT YOU CAN’T MISS

This month’s recommended book

The Double X Economy: The Epic Potential of Women’s Empowerment by Linda Scott

Explore the transformative force of women’s empowerment in Linda Scott’s The Double X Economy. With compelling examples, Scott illuminates the profound impact of gender equality on economies and communities. The author reveals how giving women more opportunities can significantly change our world for the better.

NAR changes will transform how you buy a house

There are two ways to buy a house. One way is doing it on your own, and the other with the help of a realtor. Here is how you can find a good one.

Top 3 states to buy real estate

There are 3 states that are doing pretty good today. From population growth to home prices, this video will provide a detailed analysis as to why these states are ideal for real estate investments.

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