Inflation and Federal Reserve - August's CPI report indicated inflation rose to 2.9% YoY, up from 2.7% in July, with core inflation steady at 3.1% [2] - Monthly inflation increased by approximately +0.4% seasonally adjusted, raising concerns about rate cuts but not leading to aggressive actions [2][4] - The Fed has signaled a high probability of a rate cut next week, with a 7.5% chance of a 50bps cut versus a 25bps cut, indicating a cautious approach due to persistent inflation in sectors like food and shelter [4] Housing Market - Signs suggest the housing market may be recovering, with the 30-year fixed mortgage rate dropping to 6.27%, the lowest in nearly a year, down from 7.25% [6] - As borrowing costs decrease, mortgage application activity, particularly refinancing, has seen a noticeable increase, indicating a potential uptick in buyer interest [6][8] - Despite the drop in rates, the market may be anticipating a housing comeback too early, as inventory remains tight and prices are still high [8] Company Spotlight: Opendoor - Opendoor's stock surged 80% after the appointment of Kaz Nejatian as CEO and the reinstatement of co-founders to the board, driven by retail investor enthusiasm [9] - The company continues to face challenges, including being loss-making and dealing with macroeconomic headwinds, inventory constraints, and rate sensitivity [11] - The recent leadership changes reflect a strong investor appetite for turnaround narratives, particularly in a volatile market where stories can drive significant stock movements [11]