A bit of a conundrum that is coming to roost. Retail sales in July were up 0.7%, almost twice the estimate of 0.4%.

Spending online at restaurants/bars and non-discretionary items topped the list. There is what’s called the “wealth effect”. It happens when the Stock market rises and makes people feel more wealthy and more comfortable spending.

Freight Index came out and its shipments fell 1.2% and now 9% lower year over year. Shipping costs has fallen 17% from last year. So what’s the deal? Less product being shipped but more consumers purchasing non-essential goods.

Credit card debt is over $1T and the rates are approaching 25%. Servicing that debt is becoming more and more expensive.

Below Home buyer activity Nationally.