Updates from Sally Shiekman
As a seasoned broker with deep roots in Aspen, Snowmass, and the Roaring Fork Valley, I’m passionate about sharing insight into our dynamic markets. Whether you're buying, selling, or simply staying informed, my goal is to help you navigate with clarity, confidence, and a local’s perspective.
A light at the end of inflation
July 31, 2023
Navigating the peaks and valleys of the Aspen and Roaring Fork Valley real estate landscape over the past 30 years has provided me with "Mountains of Experience.” It has taught me one thing: adaptability is critical. This year's big discussion? Inflation.
According to a recent Forbes article, the latest reports from the Labor Department give us some respite. Inflation, which hit a 40-year high of 9.1% in 2022, has declined for 12 months, landing at 3% in June. Thanks to the Federal Reserve's vigilant rate hikes, we're steering away from the jagged high inflation terrain.
Now, let's zoom in on housing. Nationally, shelter costs have risen, marking a 0.4% increase month-over-month and 7.8% compared to June last year. This is critical as we chart our course as housing continues to rise.
However, the economy is walking a tightrope. Higher interest rates, while battling inflation, have increased borrowing costs, putting a brake on economic activity. The New York Fed puts the chance of a U.S. recession within the next 12 months at 67.3%.
That said, optimism prevails on Wall Street. S&P 500 entered a bull market in June and continues to ascend, with the technology sector making a solid rebound after a tough 2022.
The caveat? This bull market appears narrow, with just seven of the largest S&P 500 components driving the most gains. This suggests a need for cautious optimism and careful strategy.
With the next Federal Open Market Committee meeting looming and key economic indicators on the horizon, we remain vigilant. Let's keep our strategies flexible and continue to navigate this dynamic market with savvy.
https://www.forbes.com/advisor/investing/current-inflation-rate/
According to a recent Forbes article, the latest reports from the Labor Department give us some respite. Inflation, which hit a 40-year high of 9.1% in 2022, has declined for 12 months, landing at 3% in June. Thanks to the Federal Reserve's vigilant rate hikes, we're steering away from the jagged high inflation terrain.
Now, let's zoom in on housing. Nationally, shelter costs have risen, marking a 0.4% increase month-over-month and 7.8% compared to June last year. This is critical as we chart our course as housing continues to rise.
However, the economy is walking a tightrope. Higher interest rates, while battling inflation, have increased borrowing costs, putting a brake on economic activity. The New York Fed puts the chance of a U.S. recession within the next 12 months at 67.3%.
That said, optimism prevails on Wall Street. S&P 500 entered a bull market in June and continues to ascend, with the technology sector making a solid rebound after a tough 2022.
The caveat? This bull market appears narrow, with just seven of the largest S&P 500 components driving the most gains. This suggests a need for cautious optimism and careful strategy.
With the next Federal Open Market Committee meeting looming and key economic indicators on the horizon, we remain vigilant. Let's keep our strategies flexible and continue to navigate this dynamic market with savvy.
https://www.forbes.com/advisor/investing/current-inflation-rate/