Saturday Morning Coffee with CFG

This Week In Unsurprising News 

The Fed announced another major rate hike on Wednesday, bumping rates another 0.75 percentage points to a range of 2.25% – 2.5%. What does this mean for you, the financial industry professional?

• Home prices could cool off as home sales slowdown due to higher mortgage rates.
• Savings accounts and CD’s will (eventually) start to accrue interest again as Fed rates increase.
• Inflation will (hopefully) begin to ease. Lower gas prices and future rate increases should chip away at the 9.1% June inflation rate. Barclays predicts this rate will fall to 5.7% by December.

Strangely enough, the stock market has rallied each of the last several times the Fed has raised rates (and it did so again yesterday).

Inflation At The Concession Stands 

ESPN.com ran a story last weekend detailing the impact of inflation on Major League Baseball stadium concession stands. Unfortunately, ballparks have not been immune to price changes amid supply chain and employment issues.

Truist Park in Atlanta  sits around league average for some of the most popular food and drink items – where does your home ballpark rank?

In the Weeds Reads:

1. Pending Home Sales Fell 8.6% In June
2. Home Seller Profits Surge Amid New Round Of Price Spikes In Q2
3. FHFA Home Price Index Up 1.4% In May
4. Home Showings Down 20% Year-Over-Year In June

New Home Sales Fell 8.1% In June