Economy Thread

[Ann]

Inflation hits Americans' grocery bills as food prices accelerate
Food prices surged 13.1% in July, highest since 1979

 

</snip>

 

Although the consumer price index, which measures a basket of everyday goods including food, rent and gasoline, came in cooler than expected at 8.5% in July, food prices accelerated further, the Labor Department reported on Wednesday. The food at home category, which tracks the cost of groceries, surged 13.1% over the last year, the most significant increase since March 1979. On a monthly basis, prices jumped 1.4%.

 

"Consumers are getting a break at the gas pump, but not at the grocery store," said Greg McBride, chief financial analyst at Bankrate.com. "Food prices, and especially costs for food at home, continue to soar, rising at the fastest pace in more than 43 years."

 

Americans are paying more at the grocery store for a number of items that have climbed considerably in price over the past year. That includes staples like eggs (38%), chicken (16.6%), milk (15.6%), potatoes (13.3%), rice (12.7%) and fresh fruits and vegetables (8.2%).

 

</snip>

[Ann]

What is going on with vehicle shopping right now is ridiculous. Hubby and I were in the market for two new vehicles, and paid over sticker for one to get it right away and ordered the other one (so no add on fee).

 

I wanted another Range Rover. I couldn't get another super charged for 18 months (with ordering) but I could get a lower model for $60K over sticker now.    Bub-bye Land Rover. And, we probably will not be back. 

While the fees are one thing, the continued lack of inventory is another. To order the vehicle we wanted from BMW we had to find a dealership that had an allotment! The local dealership might be able to get one in 6-8 months. Hubby found a dealership in Tampa that could get us one in "only"  4 months. And these are SUVs put together in South Carolina!

I could write a book about what is going on right now with buying a new vehicle, and none if it is good. 
 

Car buyers paying more than MSRP feel lasting resentment

 

Last month, Cox Automotive research uncovered a brace of unpleasant findings for car buyers. The average transaction price for a new car hit $48,043. That figure was a ridiculous $895 more than the month before, and an even more ridiculous 12.7% more than in June 2021. And buyers were, on average, paying $1,000 over MSRP for the first half of this year. Research firm GfK Automotive has put numbers to the results of these market distortions — numbers that could help make sense about why OEMs continue to push various tactics to tamp down dealer markups. The short of it is that through May and June, GfK says 80% of car buyers paid MSRP or above, including 34% who "paid fees they had never heard of before." Afterward, data from roughly 40,000 shoppers showed that "Paying above MSRP leaves car buyers with strong negative feelings toward auto brands, dealerships."

 

</snip>

 

Maybe the worst sting in all of this is that many customers are paying more for the car they didn't want most. Thirty-one percent of respondents didn't buy their first choice of car, 30% bought from a dealer that wasn't their first choice, and 30% compromised on features. Nothing causes heartburn like getting bent over a barrel to buy something you didn't really want.

 

</snip>

[devnull]

Electric Vehicle "subscriptions"

https://www.bnnbloomberg.ca/a-california-startup-is-selling-electric-vehicle-subscriptions-1.1805217

 

Anyone else notice the irony in the company name, Autonomy?

 

You will own nothing and be happy

 

 

[Nouseforaname]

1 hour ago, devnull said:

Electric Vehicle "subscriptions"

https://www.bnnbloomberg.ca/a-california-startup-is-selling-electric-vehicle-subscriptions-1.1805217

 

Anyone else notice the irony in the company name, Autonomy?

 

You will own nothing and be happy

 

 

Car companies have made leasing an almost better option, it’s almost logical that this is the next step.

 

After the horror stories of my youth, I don’t drive anything not under warranty.

[Nouseforaname]

4 hours ago, Ann said:

What is going on with vehicle shopping right now is ridiculous. Hubby and I were in the market for two new vehicles, and paid over sticker for one to get it right away and ordered the other one (so no add on fee).

 

I wanted another Range Rover. I couldn't get another super charged for 18 months (with ordering) but I could get a lower model for $60K over sticker now.    Bub-bye Land Rover. And, we probably will not be back. 

While the fees are one thing, the continued lack of inventory is another. To order the vehicle we wanted from BMW we had to find a dealership that had an allotment! The local dealership might be able to get one in 6-8 months. Hubby found a dealership in Tampa that could get us one in "only"  4 months. And these are SUVs put together in South Carolina!

I could write a book about what is going on right now with buying a new vehicle, and none if it is good. 
 

Car buyers paying more than MSRP feel lasting resentment

 

Last month, Cox Automotive research uncovered a brace of unpleasant findings for car buyers. The average transaction price for a new car hit $48,043. That figure was a ridiculous $895 more than the month before, and an even more ridiculous 12.7% more than in June 2021. And buyers were, on average, paying $1,000 over MSRP for the first half of this year. Research firm GfK Automotive has put numbers to the results of these market distortions — numbers that could help make sense about why OEMs continue to push various tactics to tamp down dealer markups. The short of it is that through May and June, GfK says 80% of car buyers paid MSRP or above, including 34% who "paid fees they had never heard of before." Afterward, data from roughly 40,000 shoppers showed that "Paying above MSRP leaves car buyers with strong negative feelings toward auto brands, dealerships."

 

</snip>

 

Maybe the worst sting in all of this is that many customers are paying more for the car they didn't want most. Thirty-one percent of respondents didn't buy their first choice of car, 30% bought from a dealer that wasn't their first choice, and 30% compromised on features. Nothing causes heartburn like getting bent over a barrel to buy something you didn't really want.

 

</snip>

Range And Bimmer? Buy American ☺️

[Ann]

3 hours ago, Nouseforaname said:

Range And Bimmer? Buy American ☺️

 

The BMW SUVs are made in South Carolina. 

[Nouseforaname]

3 minutes ago, Ann said:

 

The BMW SUVs are made in South Carolina. 

I’m teasing. I have been driving Audis since 2012.

[Foxx]

2 hours ago, Nouseforaname said:

I’m teasing. I have been driving Audis since 2012.

I'll bet you had Swedish meatballs for dinner last night too.

[Ann]

6 minutes ago, Foxx said:

I'll bet you had Swedish meatballs for dinner last night too.

 

If there was an Ikea near us, hubby would go there all the time for them.  

[Foxx]

2 minutes ago, Ann said:

 

If there was an Ikea near us, hubby would go there all the time for them.  

Yeah but... is he a French Canadian Italian who drives a German car?

[Ann]

Just now, Foxx said:

Yeah but... is he a French Canadian Italian who drives a German car?

 

He is a French American Italian who drives a German car.

[Foxx]

2 minutes ago, Ann said:

 

He is a French American Italian who drives a German car.

Sounds like his brother from another mother.

[Nouseforaname]

1 hour ago, Foxx said:

I'll bet you had Swedish meatballs for dinner last night too.

No I gave enough money to Sweden when I furnished my house and previous apartment.

 

And my moms meatballs beat anything ikea can ever offer.

[Nouseforaname]

1 hour ago, Foxx said:

Sounds like his brother from another mother.

She lost me when she said he was French.

[devnull]

12 hours ago, Foxx said:

Yeah but... is he a French Canadian Italian who drives a German car?

 

12 hours ago, Ann said:

 

He is a French American Italian who drives a German car.

 

No, he's an Italian Quebecois that recently spent time as a Florida Man

[Ann]

New Home Sales Tumble in July as Housing ‘Recession’ Deepens
The once-thriving housing sector is following the economy down.

 

 

Sales of new homes fell 12.6% in July, following a drop in May, as the housing sector continues to soften from the twin shocks of rising mortgage rates and higher prices, the Census Bureau reported on Tuesday.

 

</snip>

 

The decline to an annual rate of 511,000 from the revised June number of 585,000 confirms housing is now in a “recession,” as the National Association of Home Builders said recently, putting the dampers on a sector of the economy that led the way during the coronavirus pandemic as people hunkered down. Its decline will have ripple effects throughout the broader economy, raising the stakes that a recession could be in the cards for 2023 or later.

 

</snip>

[Ann]

PMI was disastrous:
 

"expected an increase!?"
 

 

 

[Deranged Rhino]

This should help... /s

 

Rumors are they're going to forgive between 10 to 50k for everyone earning under 200k. 

 

 

[Ann]

Private payrolls grew by just 132,000 in August, ADP says in reworked jobs report

 

• Private payrolls grew by just 132,000 for the month, a deceleration from the 268,000 gain in July, ADP said in its monthly payroll report.
• August’s numbers add to the inflation worries, as the firm reported annual pay up 7.6% for the month.

 

 

[Foxx]

Yes, she just said that...