Robert Schiller spoke today with left-of-center CNBC about housing and the markets.
The origin of the Case-Schiller index is, per Wikipedia is as follows.
“The Standard & Poor’s Case–Shiller Home Price Indices are repeat-sales house price indices for the United States. … These Indices are based on original work by economists Karl Case and Robert Shiller, in which their team calculated the home price index back to 1890.”
That is Robert Schiller.
What Shiller had to say about what he sees ahead, as soon as later this year, in the housing market is our featured focus tonight. Note that this makes a useful bookend to our morning report, linked below. ICYMI or need a refresher, click the image or the headline below it to see that report.
The balance of the featured focus segment of this evening’s report is found beyond the left-right headline news bullets and 2 of our 3 market snapshots at the close today. The manufactured housing industry connected stocks are near the end of the report each evening, after the featured focus and the related/recent report links.
Quotes That Shed Light – American Social, Industry, National Issues…
Headlines from left-of-center CNN Business
- A new world war
- As the US and China battle over the future of technology, nations and companies choose sides
- Dow surges then fizzles after stocks briefly turn positive for 2020
- Jack Ma cashes out billions of dollars in Alibaba shares as stock booms
- Hong Kong Disneyland will close again after a surge in coronavirus cases
- Fisker plans to go public in a $2.9 billion deal
- Tesla scraps plans for its bargain version of the Model Y
- Facebook’s future keeps getting murkier
- This game could be the next ‘Fortnite’
- Wells Fargo tells employees to delete TikTok from company devices amid security concerns
- Analog Devices to buy Maxim Integrated for $21 billion
- Food is a big deal at work. Here’s how lunch and snacks will change
- National French Fry Day is today. Here’s where to grab free fries
- Chipotle is testing out a new type of rice
- A pedestrian wearing a protective mask walks past a boarded up Citigroup Inc. Citibank branch in Washington, D.C., U.S., on Thursday, June 4, 2020. Mayor Muriel Bowser lifted the curfew in D.C. for Thursday, the Washington Post reported.
- ‘It’s going to be really ugly.’ Here come the big bank earnings
- The opening of the first LEGO authorized store attracted customers. Yantai, Shandong Province, China, May 15, 2020.
- This could be the greatest Lego set of all time
- People gather to ask McDonald's corporation to raise workers wages to a $15 minimum wage as well as demanding the right to a union on May 23, 2019 in Fort Lauderdale, Florida. The nationwide protest at McDonald’s was held on the day of the company's shareholder meeting.
- US workers demanding union rights plan to walk off the job in Strike for Black Lives
- MARKETS
- THE DEBATE OVER TIKTOK
- Amazon tells employees to delete TikTok immediately—then takes it back
- TikTok users panic as US considers banning app
- Is TikTok really a national security threat?
- India bans TikTok as tensions with China escalate
- Instagram pounces on India market after TikTok is banned
- THE RICH GET RICHER
- Elon Musk, Founder and Chief Engineer of SpaceX, speaks during the Satellite 2020 Conference in Washington, DC, United States on March 9, 2020.
- Elon Musk just became richer than Warren Buffett
- Jeff Bezos is so rich he just set a new record
- Where Jeff Bezos’ wealth comes from
- Amazon, Apple and Microsoft race to $2 trillion
- Asia’s richest man is now one of the world’s 10 wealthiest people
Headlines from right-of-center Fox Business (Notice: typos below are in the original)
- CORONAVIRUS
- Cuomo threatens travelers to NYC with a hefty fine if they break quarantine rules
- Travelers from 19 states are required to fill out a form detailing where they came from and where they’re going before they leave the airport.
- Officials weigh tax hikes to offset coronavirus impact on budgets: What to know
- Coronavirus phase 4 stimulus bill coming, Kudlow says ‘conclusively’
- MARKETS
- Stocks surrender gains after California rolls back coronavirus reopenings
- AMC reaches agreement with bondholders to reduce debt
- MONEY
- Cuomo, de Blasio clash over NYC schools reopening in the fall
- Trump willing to give extra aid to schools that reopen: adviser
- LAW ENFORCEMENT
- Trump holds roundtable with Americans helped by police amid protests
- PERSONAL FINANCE
- July 15 tax deadline: How to get your refund ASAP
- BREATHING ROOM
- NFL
- Patriots free millions for player salaries after Hernandez case settled
- HAYMAKER
- RICH & FAMOUS
- Johnny Depp says ex-wife Amber Heard punched him over losing $650M
- $10,000 PILLOWS?
- LIFESTYLE
- Ellen questioned for Wayfair partnership amid conspiracy theory
- BORDERLINE CASES
- BUSINESS LEADERS
- Canada, U.S. likely to extend ban on non-essential travel: sources
- BYE BYE, BONUS?
- MONEY
- Unemployment benefits in next stimulus package: Here’s what we know
- Loughlin, Giannulli sell California home for below asking price
- BEL AIR BLUES
- REAL ESTATE
- Loughlin, Giannulli sell California home for below asking price
- NEW ROUTES NEEDED
- NFL
- Washington NFL trademark issues complicate Redskins name change
- JOBS UP IN THE AIR
- AIRLINES
- Southwest Airlines warns it may cut jobs without jump in travel
- BIN THE BINGE
- LIFESTYLE
- How to break coronavirus lockdown bad habits
- THE PLACES TO BE
- ECONOMY
- Unemployment is recovering fastest in these 10 states
- MITCH’S PITCH
- POLITICS
- McConnell to present stimulus package to Republicans next week: Report
- STAR WARS MEETS STREAM WARS
- DISNEY
- New ‘Star Wars’ series will debut on Disney+ in 2021
- CALM BEFORE THE STORM?
- RETAIL
- Amazon takes unusual step to prepare for holiday shopping rush
- SCHOOLS IN REVOLT
- POLITICS
- Schools back lawsuit against Trump admin over foreign student rule
- WOODEN DOLLARS
- ECONOMY
- Small town starts printing its own currency as coronavirus hits economy
- ECONOMY
- Outer Banks island ravaged by storms, virus restrictions
- RETAIL
- Coronavirus leads New York & Company into bankruptcy, closing most stores
- ECONOMY
- America’s budget deficit hits record-shattering number in June
- TECH
- Wells Fargo bans TikTok on all company-owned devices
- LIFESTYLE
- Scientists hoped summer temperatures would tamp down COVID-19 cases. What happened?
- TRAVEL
- Airlines keeping middle seats open would cost you this much, according to one report
- SOCIAL MEDIA
- White House eyes major crackdown on TikTok amid privacy concerns
- LIFESTYLE
- Coronavirus causes Hong Kong Disneyland to shut down again
- CHARITY
- Coronavirus forces Dollar Tree to revamp back-to-school program for military families
- MONEY
- ‘Say no to cancel culture’: Virginia man raises $77K to donate Goya products to food pantries
- FOOD & DRINKS
- Chipotle piloting new menu item. Where to find it
- POLITICS
- Latino chefs blast Goya Foods after CEO’s pro-Trump comments
- VIDEO
- Joe Namath on Redskins name change: ‘It’s about time’
- BUSINESS LEADERS
- Abigail Disney, other mllionaires call for higher taxes for coronavirus relief: ‘It is the only choice’
- MONEY
- China trades sanctions with US in row over Uighur Muslims
- MONEY
- The IRS wants taxpayers to claim $1.5B in unclaimed refunds — but there’s less than 1 week to do it
- OPINION
- China is using the coronavirus recession to target this US industry
- VIDEO
- Ghislaine Maxwell will be granted bail: Criminal defense attorney
- TECHNOLOGY
- Google trying to get Americans without college degree into high-paying jobs
- MARKETS
- Analog Devices to buy rival Maxim Integrated, form $68B chipmaker
- TECHNOLOGY
- Apple spends $400M to fight California housing crisis
- ADVERTISING
- Target, MTV blocked ads from news mentioning ‘George Floyd’ and ‘protests’
- FOOD & DRINK
- UK pub installs electric fence at the bar to ensure patrons socially distance: report
- VIDEO
- Disney guests will decide if reopening is too early: Former Walt Disney World Resort VP
- REAL ESTATE
- Broadway star shows off huge luxury coach house
- LIFESTYLE
- Florida insurance agent fired after Costco confrontation breaks silence
- MARKETS
- Average gas price rises over last 2 weeks
10 Market Indicator Closing Summaries – Yahoo Finance Closing Tickers on MHProNews…
Featured Focus –
Where Business, Politics and Investing Can Meet
From left-of-center CNBC are the bullets from today’s report. It will be followed by
- “I think there’s a risk that home prices in urban areas may decline,” Nobel Prize-winning economist Robert Shiller told CNBC.
- The benefits of city living, such as restaurants, museums or theater shows, have been put into question during the coronavirus pandemic, according to Shiller.
- Shiller said assets are “highly priced” across major markets, including housing, stocks and bonds.
“I think there’s a risk that home prices in urban areas may decline,” Shiller said in a CNBC interview.
Urban areas have proven to be resilient to price declines during the pandemic. Prices for existing homes across 19 big cities in the U.S. rose 4% in April from a year earlier, according to the S&P CoreLogic Case-Shiller National Home Price Index.
Shiller, co-founder of the index, said benefits of city living, such as restaurants, museums or theater shows, and more have been put into question during the pandemic. City dwellers have fled to the suburbs or more rural areas, as MHProNews has been periodically reporting for some weeks.
Suburban housing could be a better investment for homebuyers given COVID19 uncertainty, Shiller added.
“People forget that a lot of the value of homes outside of the central city is in the structure and you can build more of them,” he said. “Home prices out of the dense urban setting tend to follow construction costs, and so there shouldn’t be any big movement in those prices.”
Shiller correctly predicted the housing bust in 2007 and 2008. Shiller said assets are “highly priced” across major markets, including housing, stocks, and bonds.
“This is learning by doing. We’re experiencing a different kind of world where we’re all online and that will change the kind of jobs that we have,” he said.
MHProNews Analysis and Commentary
In recent days, MHProNews has provided data to industry professionals on the surge in the RV industry. While it still trails 2019, the current trends are that it could surpass the pace in the near term.
HUD Code manufactured housing, per some sources, will finish 2020 at a lower pace than 2019, which was already slower than 2018.
There are so many pressures for more affordable housing, which should mean that manufactured housing ought to be surging, not retreating.
The American Enterprise Institute (AEI) Housing Center has expressed a similar concern to what Schiller did today.
In fairness, the future is not easy to forecast. On May 24 2020, who would have thought that there would be an eruption of violence across America in response to the arguably avoidable death of George Floyd?
When the economy was roaring in mid-January, who would have thought that the distant concerns about the Wuhan China originated novel coronavirus would lead to the markets, economy, tens of millions of jobs, education, and more to be so upended?
It remains to be seen if Schiller is correct or not about his concerns. Just a few months ago, Marcus and Millichap were arguing that the steps taken by the Trump Administration and Congress could avoid the type of economic disruption that has hit since the partial-to-extensive economic shutdowns.
MHProNews Analysis and Commentary
As with so many issues, the handling of the pandemic and its consequences has become political.
From the epicenter to zero deaths. Short term sacrifice saves lives!!! https://t.co/iHJktiPX5p
— Valerie Jarrett (@ValerieJarrett) July 13, 2020
That tweet by former Obama Administration operative Valerie Jarrett brought sharp responses. Jarrett “served as the senior advisor to U.S. President Barack Obama and assistant to the president for public engagement and intergovernmental affairs from 2009 to 2017,” says Wikipedia.
Dear God, this may be the worst victory lap of them all.
‘SACRIFICE FOR THE GREATER GOOD!’
Wut?
430k cases
32,403 DEATHSAge>75, 665 deaths per 100k
65-74, 663
About 30 children have died, and hundreds have viral sequelae.You should be ashamed, @ValerieJarrett https://t.co/NbddWLNUBI
— Pradheep J. Shanker (@Neoavatara) July 13, 2020
Each of these Tweets were highlighted by right-of-center Red State.
More people died with coronavirus in New York City (population 8 million) than Texas (29 mil), Florida (21 mil), California (39 mil) and Georgia (11 mil) … combined. https://t.co/8CLb81l8u3
— Steve Krakauer (@SteveKrak) July 13, 2020
From the epicenter to zero deaths. Short term sacrifice saves lives!!! https://t.co/iHJktiPX5p
— Valerie Jarrett (@ValerieJarrett) July 13, 2020
Ghoulish. https://t.co/LoRqGtDLZs pic.twitter.com/IEXIBQGWA7
— I didn’t vote for him, so think of a new retort (@jtLOL) July 13, 2020
— vj09🇺🇸 (@vjan09) July 13, 2020
Not long after this statement by progressives cited above decrying threats that aim to silence dissent, Representative Alexandria Ocasio Cortez (AOC) called for a boycott of a minority owned business. Goya’s president was previously a guest of the Obama White House. Where is the logic, fairness, or consistency from AOC? Or is silencing opposition without debate her goal and that of others like herself?
Oh look, it’s the sound of me Googling “how to make your own Adobo” https://t.co/YOScAcyAnC
— Alexandria Ocasio-Cortez (@AOC) July 10, 2020
The more the political left push against the facts and try to bully the right, there are indications that the awakening of untold numbers of Americans are underway.
So much has been politicized in America.
My house smells like a Cuban picadillo candle 😍#ILoveGoyaFoods pic.twitter.com/AIZCefuraX
— Ana Rosa Quintana (@ana_r_quintana) July 12, 2020
But it is what it is.
Joe Biden became a US Senator in 1973, when I was two years old. “New leaders.” https://t.co/GgzxieVdFi
— Ted Cruz (@tedcruz) July 12, 2020
Those who believe in freedom of speech, free markets over monopolists and Marxists supported by billionaires must recognize that the time to draw the line is now.
Related, Recent and Read Hot Reports
Warren Buffett Declared “Class Warfare,” Buffett Says Fellow Billionaires – “We’re Winning”
Manufactured Housing Industry Investments Connected Closing Equities Tickers
Some of these firms invest in manufactured housing, or are otherwise connected, but may do other forms of investing or business activities too.
- NOTE: The chart below includes the Canadian stock, ECN, which purchased Triad Financial Services, a manufactured home industry lender
- NOTE: Drew changed its name and trading symbol at the end of 2016 to Lippert (LCII).
Summer 2020…
Berkshire Hathaway is the parent company to Clayton Homes, 21st Mortgage, Vanderbilt Mortgage and other factory built housing industry suppliers.
· LCI Industries, Patrick, UFPI, and LP each are suppliers to the manufactured housing industry, among others.
· AMG, CG, and TAVFX have investments in manufactured housing related businesses. For insights from third-parties and clients about our publisher, click here.
Enjoy these ‘blast from the past’ comments.
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Learn more about our evolutionary journey as the industry’s leading trade media, at the report linked below.
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Disclosure. MHProNews holds no positions in the stocks in this report.That’s a wrap on this installment of “News Through the Lens of Manufactured Homes and Factory-Built Housing” © where “We Provide, You Decide.” © (Affordable housing, manufactured homes, stock, investing, data, metrics, reports, fact-checks, analysis, and commentary. Third-party images or content are provided under fair use guidelines for media.) (See Related Reports, further below. Text/image boxes often are hot-linked to other reports that can be access by clicking on them.)
By L.A. “Tony” Kovach – for MHLivingNews.com.
Tony earned a journalism scholarship and earned numerous awards in history and in manufactured housing. For example, he earned the prestigious Lottinville Award in history from the University of Oklahoma, where he studied history and business management. He’s a managing member and co-founder of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com. This article reflects the LLC’s and/or the writer’s position, and may or may not reflect the views of sponsors or supporters.