Mortgage Applications for home purchases are up 49% yr/yr - reported earlier today, as potential buyers rush to lockin lower rates, post the Fed meeting. With Auto Sales at 10 years highs - consumers are feeling good - you don't run out an buy a new homes or car if you worried about your job.
and Housing Starts better than expected too --- the US Consumer ignores China and the Stock Market Volatility in August ... buying more homes and autos. Life is Grand !
we could see a bit of a pop in Gold on the first Interest rate hike (maybe soon) the US $ trade is pretty crowded. Never forget to take profits.
S&P 500 Down 7%
Gold Down 5%
AMZN up 17%. GOOG up 16% NFLX up 9% SBUX up 5% and FB up 4%
Massive absolute and relative performance - which is how PMs are paid.
The analysts who focused on "slow Domestic growth" in 2012 ad 2013 made a huge mistake. And once again too much focus on the "slower growth" in the US is a mistake. The Competition in the Int'l markets is far less...And NFLX has a huge lead vs its Competitors in the Int'l Markets.
Did you know in Canada for example - No Hulu and no Amazon Prime and No Stand alone HBO or Showtime ?
I even have one at new highs -- LGI Homes (LGIH) - an Entry level homebuilder.
For me homebuilders will continue to act well --- lots of pent up demand, low rates and rising employment.
The Rental Market is very tight -- just Google "Rising Rents" and you will see a lot of cities/people complaining --the solution - a fixed mortgage payment. Who knows what your rent will be in 10 years, but you can lock in your mortgage rate now.
I am convinced people BUY Payments not Price -- I encourage everyone to look at how LGI Homes sells to this Entry level buyer -- their website focuses on the Monthly Payment -- makes for an easy comparison vs your rent.
Housing Recovery2.0 continues.
Sentiment: Strong Buy
A significant acceleration in growth from 10% in October - on the heals of DHI positive comments and numbers about the strength in 1st Time Buyers - and especially in Texas. Setting up for a strong 2016.
Management on the Conference Call guided to min of 264 Closings for November, compared to 165 last year or 60% + growth -- we shall see if your call of less than 10% growth (Octobers growth) plays out, expect an announcement first week of December.
Netflix newest show "Jessica Jones" a collaboration with it's Exclusive partner Disney's Marvel - was all the buzz this weekend on Social Media. Scoring a fantastic 8.5 on IMBD. The show also Introduced another Marvel Character "Luke Cage" which will be another new stand alone show in April 2016.
This exclusive Disney content deal is really paying off... and more to come in 2016
But you have admitted you can't time the market....so "any moment " could tomorrow or next decade? You have no clue except it's mathematically certain... The equation is set in stone. You continue to be my favourite naive retail investor ! Keep posting.