Market Trends & Investment Landscape - Single-family home rentals are on the rise due to increasing difficulty in homeownership for average Americans [1] - Smaller investors are stepping in to buy single-family homes, comprising about 25% of purchases in the first half of the year, while large investors account for only about 5% [1] - Investors purchased nearly 1/3 of homes sold in Miami in Q4 2022, and about 1/4 in Atlanta; in California, investors own more than 50% of homes in 5 counties [1] Affordability & Housing Market Imbalance - High interest rates and economic uncertainty constrain the affordability index, making it difficult for the average American to afford housing [1] - In Nevada, the average income of around $50,000 is insufficient to afford a house, with older homes selling for around $350,000 and new homes around $450,000 [1] - Institutional investors' market share in residential real estate in Nevada is up 8 percentage points in 3 years, reaching 27% of the Vegas market [1] Policy & Potential Risks - Legislation to cap investor-owned homes at 100 failed, raising concerns about balancing wealth expansion and potential greed [1][2] - Privatization of Fannie Mae and Freddie Mac could introduce uncertainty and risk to the US mortgage market, valued at $14 trillion, without careful analysis [5][6][7] - Changes in Fannie and Freddie policies in 2023 have made loan-to-value ratios identical for investors and owner-occupiers [4]

Market Trends - US corporate-bond valuations surged to the highest level in more than two decades [1] - Investors are locking in elevated yields amid speculation that the Federal Reserve will resume cutting interest rates next month [1]

Treasury Bond Market Trends - The Treasury bond market had been relatively stagnant, except for a brief period in April [1] - The yield curve is steepening, with a six basis point increase this week [2] - Global rates are trending upwards [2] Technical Analysis of Yields - The 10-year Treasury yield experienced acceleration before plateauing in the low 430s [2] - Selling pressure intensified as yields approached previous highs around 430 [3] - Yields broke down after a weak jobs report, with the two-year yield showing a more aggressive decline than the 10-year yield [4] - The market indicates that the labor market is more influential on long-end interest rate trading than inflation concerns [4] External Factors and Comparative Analysis - Solid retail sales and import prices at 15-month highs were noted [5] - The spread between 10-year Treasury yields and German Bund yields (Tens minus Boons) is the closest it has been since early April [5] - German Bund yields are at their highest levels since the third week in March, approaching 280 basis points (280%) [5]

Monetary Policy Response to Stagflation - The Federal Reserve faces the challenge of responding to stagflationary shocks, such as those potentially caused by tariffs, which have both inflationary and supply-side effects [1] - The Fed aims to mitigate secondary impacts of tariffs, including wage-price spirals and increased production costs for domestic manufacturers due to tariffs on parts, components, supplies, and intermediate goods [1] - Determining which price increases are transitory and which require a policy response is a key task for the Fed [2] Data Dependency and Economic Outlook - Future monetary policy decisions depend on incoming economic data, particularly inflation reports, to gain clarity [3][4] - Strong economic data with inflation trending downwards would support the Fed's decision to lower interest rates to a settling point [3]

And where are stocks heading from here. Well, we welcome Ed Yardi to Power Lunch. He is founder and head of Ardeni Research.Ed, great to have you on. >> Thank you very much. >> All right.Why do you think the market is not reacting a little more negatively to the hot inflation read and a lowered expectation of more Fed rate cuts in the future. Well, I think the uh market hasn't given up on the idea that the economy is actually resilient, that it doesn't necessarily need lower interest rates and that if we ge ...

CNBC is learning that the Trump administration now currently considering 11 individuals uh for the role as Fed chair. Those include three new names. And joining us right now to talk about those three new names and more, Larry Lindseay, by the way, Rick Reer, David Zeros, is former Cleveland Fed President Loretta Mester.She's an adjunct professor at finance at UPUP's Warden School, CNBC contributor. Want to also talk to you of course about uh inflation, the jobs market, BLS data, and so much more. But curiou ...

Financial Performance - The company reported a profit after tax of DKK 707 million for H1 2025, resulting in a return on equity of 10.0% [1] - The profit was impacted by declining interest rates, which led to a reduction in net interest income due to lower returns on excess liquidity [2] - Restructuring provisions totaled DKK 350 million, alongside one-off advisory costs related to Nykredit's acquisition of Spar Nord, resulting in a profit before impairment charges that was DKK 657 million lower than the same period last year [2] Excluding Acquisition Impact - Excluding items related to Nykredit's takeover, Spar Nord achieved a return on equity after tax of 14.4% in H1 2025, with a cost/income ratio of 52, both exceeding the bank's strategic goals [3] Business Growth - The banking business maintained strong momentum from H1 2024 to H1 2025, with a net inflow of customers in prioritized segments, and annual growth in deposits and lending of 12% and 10%, respectively [4] - For Q2 2025, the company achieved lending growth of DKK 1.5 billion and an increase in deposits of DKK 4.9 billion [4]

Labor Market & Economic Indicators - July jobs report showed weaker than forecast job growth, with 73,000 jobs added and a slight unemployment rate uptick to 42% [1] - May and June hiring numbers were revised down significantly, indicating only 106,000 jobs added in the past 3 months [2] - Revisions to prior months' growth amounted to around 250,000 jobs, with roughly half attributed to public school teachers and the other half to private jobs [2] - Job growth in recent months is at its weakest since 2020 [3] Federal Reserve & Interest Rate Policy - Federal Reserve Chairman Jerome Powell announced interest rates would remain steady just 2 days before the weak jobs report [3] - The majority of the committee believed inflation was slightly above target and maximum employment was at target, lacking impetus to cut rates based on data through June [4] - The weak July data and downward revisions for May and June might have strengthened the case for lowering interest rates in September [5] Economic Uncertainty & Sector Performance - The broader economy is described as "treading water" due to factors like tariffs, cuts to federal government employment and spending, and crackdown on illegal immigration [6][7] - Job creation was primarily in sectors like education and social services, while construction and manufacturing showed declining employment [7][8] - The stock market recently hit a record high, suggesting investors are taking comfort that the worst of the trade uncertainty is behind us [8][9]

Good Morning Traders! All eyes are on this morning's release of the July Consumer Price Index at 8:30AM ET, the most anticipated economic report of the week. The CPI data will give the market a clearer read on the current inflation trend and how it might influence the Federal Reserve's policy outlook. Real Average Hourly Earnings for July will be published at the same time, adding another layer to the inflation and wage growth picture. Together, these numbers can shift market sentiment in an instant. At 10A ...

Government Finance & Monetary Policy - Congressional incentives prevent spending cuts [1] - High interest rates are unsustainable due to ballooning government interest expense [1] - Repaying obligations with real productivity gains is increasingly difficult [1] - US government interest expense is a massive issue [1] Investment Recommendation - Consider Bitcoin as an investment [1]