Timothy Birdnow

Some economic news that should at least give us some warm fuzzies.

First home prices are up.

While in my opinion this is not exactly GOOD news it does indicate a recovery in the economy; housing prices have been dropping the last few years.

The median price of homes rose by 2.4% last year, a decent increase. What that means is the biggest investment most people make just gained a lot in value. And it means that those seeking to upgrade can now afford to do so as their houses are worth enough to let them close the sale of their home at a profit rather than a loss and thus to flip to a newer place without draining their funds.

It also reflects growing consumer confidence in the U.S. economy as buyers are willing to spend more.

The downside is housing in now more expensive and will consume a larger share of the average American's budget. And we all remember the housing bubble and subsequent crash; is this a bubble or is it genuine growth?

The article states:

But I wonder if Fannie and Freddie are not doing what they did back in the days before the Housing Bubble popped. I know they were back at work with the same policies that drove the crash, at least when Biden was in office. Not sure how much that has changed since Trump came in; hopefully a lot.

Still it is a sign of an economy that is faring well.

In other good economic news retail sales have risen for the third straight month despite the rising prices as a result of the Iran war.

Sales rose by 0.5%. Naturally economists (almost all economists are liberal Keynsians these days) predicted they would be down.

Trumpanomics works and it will explode once this war is settled and the realignment is in position. We just have to make sure the public understands it's working now and will only get better in the future. That is a tough task since the media and the Democrats keep claiming the economy is in tatters when in fact it's raining soup and we don't have enough bowls to catch it.

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