EWRE News and Press, Invesco S&P 500 Equal Weight Real Estate From 10/10/22

Summary Over the last two weeks Federal Reserve officials delivered 37 speeches, all of the speakers competing to see who could be the most hawkish. The big problem with the Fed’s plan to kill inflation by reducing economic growth and raising the unemployment rate is that t...

Summary Few sectors escaped this year’s global equity selloff in Q3. Those most vulnerable to the punishing effects of the recent spike in interest rates have paid an especially heavy toll. Real estate, telecom, utilities and tech were the worst performers in most marke...

Summary Looking at raw affordability, we find August 2022's median household income would cover just 17.21% of the cost of a median new home in the U.S., near the new record low of 17.18% for July 2022. August 2022's improvement in the affordability of new homes may be very short-...

Summary In the week ended September 30, demand for mortgages to purchase a home plunged by 13%, seasonally adjusted, from the already beaten-down levels in the prior week, according to the Mortgage Bankers Association on Wednesday. The weekly drop was in part caused by Hurricane I...

Summary We expect macro headwinds will continue to pressure U.S. corporate earnings in the coming months. We expect earnings expectations to decline as multinational firms realize foreign exchange headwinds that accelerated over the past year. Investors can avoid undue interna...

Summary The Fed’s goal is to inflict quick, near-term pain on the economy in exchange for long-term price stability and future economic gains. When it comes to inflation, the good news is that it appears to be peaking, and many economists see the declining inflation trend c...

Summary Last week, the 2-year Treasury rate rose above 4.3%, the 10-year Treasury rose above 3.9%, and mortgage rates topped 7%, their highest level in 20 years. By reducing its balance sheet by $95 billion per month, the Fed has sent the 10-year rate substantially higher. The...

Summary Construction spending in August ticked up to a record $165.5 billion (not seasonally adjusted), according to the Census Bureau’s estimates. In terms of the seasonally adjusted annual rates of residential construction, the rate of spending on single-family houses fel...

Summary U.S. equity markets and bond markets slid this week - deepening a historic year-long rout - as Federal Reserve officials doubled down on hawkish rhetoric despite increasingly-apparent tremors of market instability. Closing the month and quarter at the lowest levels in two ...

Summary With Hurricane Ian making landfall as a destructive Category 4 storm on the Southwest Florida coast this week, we examine the expected impact on manufactured housing REITs. The storm took a similar path as Hurricane Irma in 2017, but Ian's storm surge and wind impacts appe...