ADP’s National Employment Report, released September 1, showed private sector employment with greatest gains in leisure and hospitality (201,000) and education and health (59,000), with total non-farm increase at 374,000.
The Wall Street Journal reports that CLO issuance reached $18.7 billion last month supported by investor enthusiasm, due to healthy corporate earnings among the loan borrowers, for these greater-risk pools of corporate debt.
The August 24th report from the Census Bureau and Department of Housing and Urban Development (HUD) shows sales of new single-family homes increased 1% over June, the first gain in four months. The number of completed homes was up slightly and well-timed for the summer market.
The August 13th preliminary Consumer Sentiment Index (CSI) reflected survey respondents’ anxiety over recent Delta variant precautions. The sudden pessimism spans all age groups, income, education, and regions in regard to both personal and national economic outlooks including concerns for unemployment and inflation.
Use of the Fed’s Overnight Reverse Repurchase Agreements, used by institutional investors to park excess cash for modest or even zero interest, had never been over $1 trillion before July 30 ($1.039T).
Excess dollars chasing too few goods has been a theme with inflation watchers. Wednesday’s Consumer Price Index (CPI) report continues that trend with a month-over-month increase of 0.5%, though a significant slowing compared to the 0.9% gain in June.
According to CoreLogic's recent monthly Loan Performance Insights Report for May 2021, 4.7% of all mortgages in the U.S. were in some stage of delinquency representing a 2.6% decrease in delinquency compared to May 2020, when it was 7.3%. However, overall delinquencies are still above the early 2020, pre-pandemic rate of 3.5%.
New findings show the use of SOFR within the swaps market rose to 20% of transactions from less than 4% in the first two trading days after the Commodity Futures Trading Commission's (CFTC) launched its "SOFR First" campaign for interbank markets on July 26.
The Wall Street Journal reports that investors believe that recent spikes in inflation—which is evidenced by increased prices in everything from used cars to homes to basic goods—will subside in the coming years.
The Wall Street Journal reports that commercial real-estate (CRE) sales this year have rebounded to pre-pandemic levels fueled by historically low interest rates and improved investor economic outlook. Multifamily properties have taken the lead with the largest sales volume this year at $92 billion, and overwhelmingly outside large cities. Investors see rents and occupancy levels remaining strong amid demand from people locked out of the housing market due to rising prices.