Economic Snapshot - Bonus Episode

Welcome to a bonus episode. Occasionally, I will throw in a bonus episode covering our current state of the economy. Today I am focusing on three areas.  1. Labor Market. The Labor Market has been holding really well. Unemployment is still below 4% nationally and disposable income although cooling is still very much in play. If the labor market softens a bit throughout the year, expect this area to shift because if people have jobs, they spend money, and if they don't, well then they don't.  2. Interest Rates. There is a substantial amount of fixed rate debt and it's estimated that 90% of household debt is fixed rate. So as the fed has been raising interest rates over the last couple of years, there is less sensitivity to these rate hikes because of this fixed rate percentage. Right now, debt service costs are stable. 3. Wealth and real estate. Families are feeling very confident and comfortable with the equity they have gained in the last few years. This does affect spending and sentiment and as we have spoken about, perception is reality.   I am in no way an economist. I am an entrepreneur, an active investor and I enjoy keeping a pulse on the broader domestic market. I enjoy the process of education and exploration and my assessment is for my own entertainment and hopefully I am able to provide entertainment and insight for you.   www.BusinessFinanceAndSoul.com