Market Trends: Real Estate, Finances, And Economy

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

HOT NEWS

  • Great news: The US economy is showing steady growth.
  • Want a piece of Amazon’s history? Jeff Bezos’ famous garage is up for sale.
  • FED considers interest rate cuts, but in May at best.

TODAY’S TOPICS

  • Have you already filed your tax return yet? If not, it’s time!
  • Stocks drop as Fed signals delay in rate cuts.
  • Top weird laws in American states (hint: some have to do with keeping chickens off the roads).
  • Will housing prices continue to rise?
  • Temporary misery or the end of the era? Tesla shares are down.

QUIZ

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

  1. $26 billion
  2. $10 billion
  3. $32 billion
  4. $100 million

2. What is the most popular Valentine’s Day gift?

  1. Flowers
  2. Smartphone
  3. Candy
  4. Jewelry

3. What is the biggest holiday in Asia?

  1. Valentine’s Day
  2. Lunar New Year
  3. Easter
  4. International Women’s Day

(You will find the answer below)

REAL ESTATE

Current mortgage rates

  • 30-year fixed – 6.95% (APR)
  • 20-year fixed – 7.43% (APR)
  • 15-year fixed – 6.30% (APR)
  • 10-year fixed – 5.63% (APR)

Real estate news

  • Less offices, more houses: How American real estate developers are making a difference in the commercial field. This year, American developers will start converting office buildings into residential ones. A new record is expected to be set. Why is this happening? Due to COVID-19, the demand for new office spaces has (still) been low. Many people prefer to work remotely. This trend may slightly reduce the high cost of housing, which was aggravated by the prolonged inflation, by increasing supply. Learn more
  • Housing prices continue to rise. According to real estate experts, it is unlikely that housing prices will decrease in 2024. On the contrary, we expect an increase of 3-4% by the end of this year. Home price growth may only be moderated by a surge in supply. Learn more

U.S. ECONOMY

Inflation

  • Current US inflation rate: 3.35%

Unemployment

  • Current US unemployment rate: 3.70%

FED rate

  • Fed funds rate: 5.5%

U.S. economy news

  • The US economy is becoming stronger every year. According to the Commerce Department, the American economy grew at an annualized rate of 3.3% in the three months before the last December. Of course, it’s worth noting that this is down from 4.9% in the previous quarter but much faster than the 2% expected by many analysts. Overall, it grew at an annualized rate of 2.5% in 2023, up from 1.9% in 2022. Thus, such rising dynamics look pretty promising for 2024. Learn more
  • Tax filing season is upon us. The Internal Revenue Service is accepting and processing 2023 tax returns. The agency expects more than 128 million returns to be filed before the official tax deadline of April 15, 2024. In addition, Americans can expect an increase in the standard deduction amount when filing tax returns. For example, the standard deduction for 2023 tax returns to be filed in 2024 is $13,850 for singles. At the same time, for married couples filling together, it’s $27,700. Learn more 
  • The Fed is considering lowering interest rates, but they still need more time. The Federal Reserve looks into the interest rate cuts due to progress against inflation. However, they’re waiting for a few more months of positive economic data before making a decision, with Chairman Powell suggesting a potential cut in May or June. Learn more

GLOBAL OUTLOOK

  • Everyone, prepare for a soft landing: The world economy is emerging from the crisis. Overall, inflation rates have been steadily declining, and economic growth has been sustained, although very slowly. Global economic growth is expected to be 3.1% this year, 0.2% higher than initially forecasted. Still, a slowdown is to be expected in some markets, particularly in China. Meanwhile, there is a slight recovery of activity in the European Union. In addition, growth is accelerating strongly in Brazil, India, and large countries of Southeast Asia. Learn more
  • One-third of European businesses have adopted artificial intelligence. Thanks to the active implementation of AI technology by 2030, the European economy could generate an additional $681 billion in gross value added. This figure is equal to the value of the European construction industry. If this goal is realized, the total economic impact of AI technology adoption in the region will be $3.67 trillion by 2030. Learn more

STOCK EXCHANGE

Stocks recommended by experts

💼 3 Best Performing AI Stocks

  1. NVIDIA Corp. (NVDA) – 218.13% (year performance)
  2. Symbotic Inc. (SYM) – 185.14% (year performance)
  3. Upstart Holdings Inc. (UPST) – 68.79% (year performance)

Stock market news

  • Stocks drop as Fed signals delay in rate cuts. Stock markets declined as Federal Reserve Chair Jerome Powell suggested that interest rate cuts may not happen in March, contrary to earlier expectations. Powell’s cautious remarks led to a drop in the Dow by almost 300 points, with the S&P 500 falling 1.6% and the Nasdaq Composite sliding 2%. Learn more
  • Tesla is upsetting investors. Tesla shares are down by more than 20% per annum. Meanwhile, the new year has not started as well as expected. The company’s CEO, Elon Musk, announced that production growth will be lower in 2024. Learn more  

COFFEE BREAK

Fun facts

🤯 Top 5 weird laws that existed or still exist in America:

  • Georgia: If you have chickens, they are not allowed to cross the road.
  • Kansas: If you are over the age of 14, you cannot use playgrounds.
  • Mississippi: You can be fined for using profanity.
  • Oklahoma: Tattoos were banned in the state until 2006. 
  • West Virginia: The use of ferrets as hunting animals is prohibited.

💌 Valentine’s Day in numbers:

  • 8 billion conversation hearts are produced each year.
  • About 25% of pet owners give their pets gifts on this day.
  • Consumers buy more than 58 million pounds of chocolate and candy for this holiday.

Fun news

💰 Amazon’s first headquarters is up for sale. The house with a garage in Bellevue, Washington, where Jeff Bezos began his journey to create Amazon, is now on the market for $2.28 million. Still, there’s a catch. In 1994, Jeff Bezos rented this home and turned its garage into Amazon’s headquarters. But, later, in 2001, it underwent a complete renovation. Therefore, its current appearance is quite different from when Jeff Bezos rented it. Learn more

Investor of the month

Cathie Wood’s investment philosophy: What does she choose?

Who is Cathie Wood? She is a true Wall Street star investor and the founder of Ark Invest. Her net worth is estimated to be $150 million.

Wood has always been known for her innovative views. She always paid special attention to technologies and what they can bring. Cathie did not start her own company right away. First, her passion for innovation led her to join Alliance Bernstein in 2001 as IT Director. Already in 2014, she founded Ark Invest.

What does Cathie Wood invest in? Technology is our future, and she agrees with it as much as anyone. Genetic engineering, artificial intelligence, the Internet of Things (IoT), robots, space travel, and cryptocurrencies are the main focus of the company’s activities. Today, Ark Invest has $60 billion in assets and continues to specialize in technology, constantly growing its revenues. Learn more

QUIZ ANSWERS

  1. A. $26 billion
  2. C. Candy
  3. B. Lunar New Year

CONTENT YOU CAN’T MISS

This month’s recommended book

📖 Good Economics for Hard Times: Better Answers to Our Biggest Problems

This book was written by Nobel Prize laureates Abhijit V. Banerjee and Esther Duflo. It offers data-driven solutions to pressing global challenges (income inequality, immigration, trade, poverty, etc.) The authors provide practical insights and recommendations for tackling complex issues and securing a better future. This book is a valuable resource for everyone seeking solutions to today’s most complex economic problems.

Tax Updates For 2024: What You Need to Know

Everything you’ve been looking for and more on what tax changes for this year. You simply can’t miss these updates!

7 Ways To Get The Down Payment For Your House

How to get a down payment for a mortgage? This episode brings you 7 tips with examples of how to accomplish that.

Share this article

Improve your finances in minutes

Join our newsletter and receive monthly market updates along with valuable tips to improve your finances.

Suggested Articles

VISA Makes Money From You Without You Knowing

VISA Makes Money From You Without You Knowing

https://youtu.be/ZIG4zdJPfOw VISA Makes Money. But how? Discover the credit card giant's big secret VISA makes money, there is no doubt. In this article, we uncover the hidden aspects of VISA's revenue sources. We'll delve into the world of this giant and discover how...

read more