Investing General Discussion

wormie

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Housing starts down more than expected (-7%, forecast -2.3% previous +6.3%). :emoji_fire::emoji_fire::emoji_fire:
 
Tmac

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Anecdotal information on lumber from a family member:

Building supply prices continue to fall and are now at Pre-COVID levels, which means that they're probably depressed considering inflation. OSB is staying firm at $13 per sheet ($10 per sheet pre COVID), but everything else is falling and continues to fall week-to-week.

Good sign for home builders, bad sign for the market?
 
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wormie

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Tmac said:
Which reduces demand. People not wanting to pay wild prices, means they're not buying, which means there's not demand.
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No, it reduces supply. There is no demand yet for houses that have not been built.
 
Tmac

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wormie said:
No, it reduces supply. There is no demand yet for houses that have not been built.
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A healthy market adjusts itself through pricing and pricing is used to determine the allocation and use of resources. When goods become scarce, the price rises, and people refrain from purchasing goods due to the high price. The supplier responds by stocking up goods bc it's worth a lot, but eventually bc of the increased prices goods become abundant again bc people aren't buying. Then the price drops and more people are willing to buy them.

Inversely when the price of goods drop there is less desire to produce it, less goods create more demand, and thereby more upward pressure is put on pricing. It all works as a way to create equilibrium between producers and consumers.

In a healthy economy producer and consumer pricing are in constant flux, always trying to find equilibrium.
 
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wormie

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Tmac said:
A healthy market adjusts itself through pricing and pricing is used to determine the allocation and use of resources. When goods become scarce, the price rises, and people refrain from purchasing goods due to the high price. The supplier responds by stocking up goods bc it's worth a lot, but eventually bc of the increased prices goods become abundant again bc people aren't buying. Then the price drops and more people are willing to buy them.

Inversely when the price of goods drop there is less desire to produce it, less goods create more demand, and thereby more upward pressure is put on pricing. It all works as a way to create equilibrium between producers and consumers.

In a healthy economy producer and consumer pricing are in constant flux, always trying to find equilibrium.
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Thats nice.
 
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Fogel

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Bought a PLTR call on Monday, sold it today for 50% gain. Still seeing if NCLH will dip any lower, but might snag it the next time it dips below 23.50
 
Fogel

Fogel

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Interesting trend this year, if SPY drops below the 21 MA it then drops to and then bounces off the 50 MA

 
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Tmac

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Sanrith Descartes said:
I know some SPACs trading below NAV.
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shocked eric cartman GIF by South Park


No.
 
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