- July 2023 Senior Loan Officer Survey On Bank Lending Practices: Regarding loans to businesses, survey respondents reported, on balance, tighter standards and weaker demand for commercial and industrial loans to firms of all sizes. For loans to households, banks reported that lending standards tightened across all categories of residential real estate loans. [FRB]
- How Long Will Interest Rates Stay High: It’s pricey to borrow to buy a business, car or home these days. Interest rates are expected to fall in coming years — how much is up for debate. [NYT]
- Cooler July Inflation Opens Door to Fed Pause on Rates: Monthly readings point to continued moderation in underlying price pressures. [WSJ]
Source: Goldman Sachs
This chart by Goldman Sachs compares the pricing of various everyday products among 6 stores in the Houston, TX region: Kroger, Albertsons, Sprouts, Whole Foods Market, Dollar General, & Walmart.
- Dwindling Excess Savings Could Scupper Markets’ Soft-Landing Hopes: Markets have high hopes for a soft landing for the economy, yet a sharp drawdown in the excess savings could slam into bullish sentiment. [Reuters]
- Hollywood Strikes Have Already Had A $3 Billion Impact On California’s Economy, Experts Say It’s Causing ‘A Lot Of Hardship’: Dual strikes by Hollywood writers and actors could break records. [CNBC]
- Heat, War And Trade Protections Raise Uncertainty For Food Prices: Experts are warning of a new normal in which food supplies — and prices — could be rocked more regularly. [NYT]
- Credit Card, PayPal Or Cash App? How You Pay Matters: A guide to weighing security, convenience and benefits of each payment option. [WSJ]
- Property Loans Are So Unappealing That Banks Want to Dump Them: Banks seeking to sell commercial-property loans are encountering a dried-up market with few options for an easy exit. [Bloomberg]
This bar graph from PitchBook shows the steep decline in Megafunds for the first six months of this year. Megafunds peaked last year, and it is evident venture funds are pulling back this year.
- How Unused 529 Assets Can Help With Retirement Planning: You can soon transfer some 529 amounts to a Roth IRA. [Fidelity]
- Crummey Trust: Definition, Purpose, How It Works, and History: A Crummey trust is part of an estate planning technique that can be employed to take advantage of the gift tax exclusion when transferring money or assets to another person while retaining the option to place limitations on when the recipient can access the money. [Investopedia]
- Crummey Letter: Trust Definition and Requirements: Crummey trusts can be a useful estate planning tool for high-net-worth individuals who are hoping to minimize gift and estate taxes. [SmartAsset]
- Amazon Cuts Dozens Of House Brands As It Battles Costs, Regulators: Company’s cuts include all but three of its 30 clothing labels, such as Goodthreads and Lark & Ro. [WSJ]
- Colleges Spend Like There’s No Tomorrow. ‘These Places Are Just Devouring Money’: Students foot the bill for flagship state universities that pour money into new buildings and programs with little pushback. [WSJ]
- Elon Musk Calls Cybertruck Tesla’s ‘Best Product Ever.’ Here Comes The Test: Truck is expected to hit the market by end of year, two years behind schedule. [WSJ]
This chart breaks down the increase in average incentive and average transaction price for the month of June. Industry average incentive was up 83.6% YoY in June, while the average transaction price was up 1.6% YoY.
Life & Work
- The Historic Town Of Lahaina, And Its Legacy, Is In Ashes: The town was once Hawaii’s royal capital, and there were fears that some of its oldest buildings had been destroyed by the wildfires. [NYT]
- They Finally Broke College Football. What Chaos Happens Next: The weekend collapse of the Pac-12 was fast–and hardly a shock. [WSJ]
- The U.S. Has A Beef With Europe—Over Cheese: Feta, Gorgonzola and Parmesan must be made in certain countries to be sold under those names in the EU. [WSJ]
Zuckerman Investment Group, LLC (“ZIG”) is registered with the United States Securities and Exchange Commission (“SEC”) as an investment adviser. Such registration with the SEC does not imply any certain level of skill or training. It also does not imply that the Firm is recommended or approved by the United States government or any regulatory agency. The information contained in this email has not been filed with, reviewed by or approved by the SEC or any other United States regulatory or self-regulatory authority.
The information in this e-newsletter for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. Tax articles in this e-newsletter are not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided “as is,” with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including, but not limited to, warranties of performance, merchantability, and fitness for a particular purpose.
Zuckerman Investment Group, LLC may only transact business or render personalized investment advice in those states and international jurisdictions where it is registered, has notice filed, or is otherwise excluded or exempted from registration requirements. This is for information distribution only and should not be construed as an offer to buy or sell securities or to offer investment advice. Please refer to Zuckerman Investment Group, LLC’s ADV Part 2 (brochure) and Form CRS for additional information.
We have no responsibility for any information or policies of any other websites that may be accessible from this email via hyperlink. Zuckerman Investment Group does not endorse, sponsor, or promote any products or services offered by any website that may be linked to this email. If you access any other website through this email, you do so at your own risk. Parties may not reproduce this email in any form, nor reference it in any publication, without the express written consent of Zuckerman Investment Group, LLC.