Consumer Spending/Railroad Strike?/Oil

Stock and Bond Markets have been attempting to rally higher, as expected.

The yield on the 10-Year US Treasury has fallen from a high of 4.23% back down to 3.692, as I’m typing this morning.  The reason for the drop in yields?  Is inflation starting to abate? Is the Fed nearing an end to raising rates?  Is it China’s extended Covid lockdown?  Is it fear of a global slowdown leading towards a recession in 2023?

No matter what the answer, it is speculation.  No one knows with any real degree of certainty, what is the fair value for stocks and bonds, at this point.

The retail spending news from the Thanksgiving holiday has been positive! People still have dough to spend, or is it a combination of money AND credit?

Online shopping hit a new record.  This issue with good news about consumer spending, is the Fed wants spending to slow to reduce overall inflation.

I read on my Wall Street Journal phone app that prices of chicken breasts have dropped 70%, from the first week of June.  Perhaps this is true, however I have not recognized the savings!!

This week, we’ll hear from 3 Federal Reserve members, including the Chairman. 

We’ll also hear the all-important October jobs creation report on Friday.  In September, we created 261,000 jobs.  The consensus for October is 200,000.  As we are now in the home stretch towards New Years Day, let’s hope the markets continue the recent trend, moving higher.

Railroad Strike?

A few months ago, we suggested to pay attention to the railroad contract situation.  Immediately after our suggestion, President Biden intervened and it appeared a strike would be averted.  As of now, it appears it is still possible for a rail strike, as both sides appear to be in disagreement.  Let’s hope a strike will not happen as this could certainly hinder the supply of goods needed throughout the economy.


The price of oil this morning is trading at approximately $74.50.  We are now where we were on January 1, 2022.  What a wild ride… up to 130 and back down!

Is the reason increased supply?  I’m thinking it’s speculation of demand reduction.  Speculation of our economy slowing, and the current China lockdown situation reducing overall demand.

I find it interesting the United States is now permitting Chevron to resume pumping oil in Venezuela.  It’s hard to believe this is our best course of action…..

NJ Anchor Property Tax Relief Extended

The deadline for filing for your 2019 property tax relief has been extended to January 31st, 2023.  To qualify, you must have owned and occupied your primary residence on October 1, 2019.  For additional information, click here to read our previous blog outlining the qualification criteria.

If any of your friends or family might benefit from this information, please feel free to share!

Broker Check Logo