Wednesday
November 30, 2022
Hello everyone,
I’m watching the World Cup as I type this, and Australia has just scored the first goal (yahhhh!!)
They are playing Denmark. Fingers crossed we win.
There have been many upsets in this World Cup Event, which makes it very exciting. I was in England during the last World Cup. It was a great atmosphere. There were all nationalities in Twickenham and Richmond, and everybody was in high spirits. Just great to see and be a part of.
Jay Powell will speak early afternoon (Eastern time) on the outlook for the economy, inflation, and the changing labour market. Let’s see what effect that has on the market. It seems that he wants a lower stock market and a recession, in order to get inflation under control.
The fallout in the crypto world is still happening. Crypto exchange, Kraken, has laid off 1000 employees.
Do you rely on Buy Now, Pay Later options? Over this last weekend, which was an extension of Black Friday, these alternative payment plans jumped 85% compared with the week before. It may make for a merry Christmas but could hurt your credit rating in the long term. According to Oxygen, an online-only bank, more than half of shoppers made a purchase with installment payment plans, which they couldn’t pay off. 60% of Americans reported living paycheck to paycheck heading into November. These people have no savings and are in dire straits if an expected expense comes their way.
So, the message here is, don’t worry about impressing relatives and friends with gifts you can’t afford. It’s much healthier, both for your well-being and your bank balance/credit rating, if you live and gift within your means. The people you gift to aren’t worried about your financial affairs or your credit rating. In other words, don’t get sucked into the consumer culture. I usually bake or make my gifts, and they are always well received.
Update: Australia wins against Denmark. Now qualify for World Cup round of 16.
Housing and rental stress in Australia are at an extreme. Did you know that it is more expensive to buy a house in Australia than in the U.S.? This situation will get worse before it gets better. Owners are raising rents throughout Australia, which reflects the costs the owner is incurring. It’s a cycle that will be ongoing until inflation peaks and interest rates start to fall. Meanwhile, renters are feeling a lot of pain with some waiting months to secure a place to live. I would imagine that it is now cheaper to buy a house than to rent. You could even rent out a room to help pay the mortgage and give someone a roof over their head. It’s a win-win.
Hope you’re having a great week.
Go AUSSIES.
Cheers,
Jacque
"Two things are infinite: the universe and human stupidity; and I’m not sure about the universe. " - Albert Einstein
"A room without books is like a body without a soul." - Marcus Tullius Cicero
