The U.S. Census Department releases retail sales data today showing a strong contraction in consumer spending for July [MSM LINK]. The out-of-touch financial pundits were looking for a 0.3% decline; however, the drop was four times greater with a contraction of 1.1% in spending.
“The slide in retail sales comes after Friday’s preliminary consumer sentiment report from the University of Michigan showed one of the largest drops on record, leading some strategists and economists to warn of downside risk to the sales data.” (link)
This should not be unexpected for those who read here. Massive price inflation on essential goods is eating up wages. Food, fuel and energy price increases are changing consumer spending habits. Non-essential purchases have stopped….. they haven’t slowed, they have stopped. ←Emphasize this because it is not showing up yet in the data lag.
The data reflects that auto sales were the primary contributor to the decline in spending (-4.3%). This should make sense to people because auto purchases are the largest general consumer purchase outside of home purchasing.
When purchase decisions are made by families; and food and fuel prices are skyrocketing; replacing a vehicle is not essential. Auto sales are a key indicator of consumer confidence and income.
Overall inflation is the primary driver. Real wages are declining (wages – inflation), and disposable income is dropping quickly. Americans need to start talking very deliberately about what is about to happen. CTH predicted this and has been walking through the visible outcomes as each set of new data surfaces {SEARCH BOX}. Nothing happening right now is unforeseen or not easily understandable.
There is a cascading effect that happens within the economy. Income shrinks, then spending shrinks, then employment shrinks and work hours reduce. It is an unavoidable outcome inside the middle-class economy.
Two-thirds of our national economy (GDP) is dependent on middle-class consumer spending. Any impact to that spending cornerstone triggers downstream consequences. Large ticket items (like cars) are the first to drop. [Car sales have declined 10.4% from their peak in April.] Luxury goods in general come next.
Wage-earners, families around the table, husbands and wives, start making decisions on finances based on income outlays. The roof over your head is the priority; then comes food, and the prices are rising; then gasoline, and again rising prices; finally facilitating expenses for work and school.
I said in June, at a macro level home prices had reached their peak (last two weeks of May, first two weeks of June was apex). Obviously, there are some geographic home value increases still happening as COVID related regional issues and work opportunities are shifting populations. There is also a lag and ripple effect that takes time to work through the economy. The macro-apex will not be visible until next year.
People go where the work is, and the work is in the freedom zones (red states/regions). Population shifts keep some area home prices increasing. However, on a national macro-level the apex has been reached. People cannot afford higher mortgage payments and simultaneously deal with massive inflation on essential purchases.
Economic pressure works to the benefit of the command and control authority who wish to force vaccinations upon people. The fear of losing a job becomes more of an issue for people when income security is threatened and they see food prices rising so quickly. It is unnerving, unsettling and for paycheck-to-paycheck families extremely stressful. This creates leverage for corporations to require vaccinations for employment. I wish I had the answers; alas, I do not.
Bottom line is… Depending on your personal situation, prepare yourself now for prices to continue rising on both consumable and durable goods. In the longer term, specifically due to a lack of purchasing, durable good prices will level and eventually drop. Less people buying stuff makes prices drop as competition triggers and businesses selling durable goods look to survive. Unfortunately at that point we are usually headed to a recession.
The downside for a drop in durable good purchasing is the workforce behind the manufacturing, distribution and sale of those goods are at risk of losing employment. Again, a natural outcome. For the auto-industry, and heavy industrial manufacturing, this is the time of year when retooling is taking place and some manufacturing and production lines are closed. However, when they return to production those companies might be shocked to find fewer purchase orders for the goods they produce.
Employment is currently stable (especially in the freedom zones); but we should watch for continued signs of consumer spending contraction. Any employment contraction will be made worse by the millions of illegal aliens now purposefully permitted to enter our nation.
Keep in mind, the Federal Government is pumping money into their command and control economy. This short-sighted (I would say purposeful and ideological) monetary and economic policy is contributing to massive inflation.
Inflation puts pressure on incomes and savings…. which puts demands on government to support income losses…. which leads to govt pumping more money. This is the dependency and welfare cycle that seems intentionally being deployed by Biden and the socialists behind him.
FORBES – “Consumers spent less last month than economists had expected, buying fewer things online and holding off on car purchases, the Census Bureau reported Tuesday morning, following Friday’s report of “a stunning loss of confidence”
[…]Consumers spent 1.1% less in July than June, more than the 0.3% decline economists cited by MarketWatch had been expecting, after increasing 0.7% the previous month. The decline was driven by the lack of motor vehicle sales, which fell 4.3%. Nonstore retailers, which includes online shopping, fell 3.1%” (link)
The populace smells fear…
Strangely, it isn’t death I fear, it’s uncontrollable chaos of everything around me. We didn’t get the vaccine. Fine. I am more afraid of attacks on our electric grid everyone going crazy. Everyone stores up food…..but don’t forget water for every living thing in your home! Today i bought several expensive water storage containers, and tonight I will sleep much better.
Have been stocking up on all things needed for going on two years now. Including a 35 gallon trash bin filled with water for general use other than drinking. Have a camp toilet and lots of liners for that. (Keep in mind that even if water is available, if the power grids are down, the sewage systems in towns will very quickly clog up and be unusable.) Lots of drinking water. Hundreds of double and triple A batteries. Lots of the long-shelf-life food items that are packed to last for years…..and a manual can-opener! (No point in having lots of cans if all you have is an electric can-opener and the power is down)
When everyone is going crazy, I don’t have to be out there if I have what I need here at my home. I have no intention of being out there among them.
This nation is doomed.
Put icing on that rotted cake all you like.
We’re beyond the tipping point now.
Well gee, Mr. McCandles, that’s not the ‘can do’ attitude of your namesake?
This country is not doomed.
Extreme doomsday negativity is not American in character or spirit.
I do think we are at the beginning of the end.
As the last hold-outs, the “useful idiots” in the population who still relied on CNN experience first hand the consequences of their actions, experience for themselves reality, and their illusions are disabused, “our” ranks will swell.
After every major false narrative was exposed during the first Trump term, I heard a common refrain;
“I am a lifelong Democrat. My family are all lifelong Democrats. But after this, we are ALL Trump supporters!”
The catastrophe that is Biden will convertall but the most dedicated leftist, I believe.
As Sundance says, even the MSM can not carry the water, anymore; its just too heavy.
And replacing Joe with karmala, with the same people behind her, will do nothing to improve even the optics.
They have no option but to try to “double down on a bad hand”, with more suppression, more scapegoating of us, more of the same that ain’t working. They have nothing else.
Sorry, end of the beginning, rather than beginning of the end.
I’m glad you corrected that, DUTCHMAN! Because if you didn’t; I was going to smack you with that EXACT correction! Close call. Good on you!
We are just at the beginning of MAGA. But first the People had to see it and feel it as you do otherwise they would continue the apathy and complacency. This is getting peoples attention who would not be paying attention otherwise.
Will Americans fold as fast as an Afghanistan burka? Some as yourself will of course, but others will battle the challenge. In the meantime enjoy the free ride.
This. We are winning this struggle. It will take time. Some may not live in this world to see the outcome. But I have no doubts in the outcome. For we have God with us.
God only promises us his world, nothing in this one.
he promises us to SHOWER us with His Blessings…as he OWNS this world and all in it, I do not think we can fathom the WEALTH of God…he tells us the things of this world are temporal (temporary) so not to covet them but he WILL provide for our needs and so much more if we but ask and remain faithful
Gal. 3:15-29 says we have all the blessings of Abraham. They are found in Deut. 28. Through Jesus we also have the spiritual blessings.
I don’t consider 1.5 million illegal invaders crossing the border by the time the year is out to be winning. That’s just for starters.
Nicely said.
I’ve been through struggles worse than any nightmare you’ve had and never folded. The men at the Alamo didn’t fold–they were overrun.
It is what it is.
Like H3ll.
Don’t shoot the messenger. Look around you. A blind man can see the collapse.
Sundance has spelled it out plain as day. The only thing he has left out is the endgame. History tells us what that will look like.
The question is not the collapse. It is who or what will emerge from the ashes. It had better be us. With God’s grace and help, it will be.
God’s will be done, but this cup does not look like it is going to pass from we who have been born into this age. Pray without ceasing.
And be prepared for anything from dirty nukes to cyber attacks. The globalists, at least the ones who actually decide the moves, don’t care about anything except power. So look to yourselves, your communities, and your churches for strength and mutual support. The roller-coaster is at the top of the climb and it sure looks like a rapid terrifying descent is just ahead.
Get out of cities.
Yep. Demography is destiny.
There is a comic irony to this article. Read the articles from all the business “news” outlets.
1/2 of the outlets and anonymous government economists say there is a major domestic manufacturing rebound in progress…while the other 1/2 say the market opens lower on consumer fears of inflation.
Can’t make this stuff up.
The only thing running at full throttle right now are the media and government lies.
There is a coast to coast parts shortage out there right now. Supply chains are starting to tighten up everywhere.
But don’t be afraid. That’s what they are counting on. The Heartland is still very resilient.
What type of parts ? Auto parts ?
Many parts. Some automotive. And major ongoing global chip shortages still persist (that indirectly impacts many automotive subassemblies as well, because everything is now computerized).
Good time for the Chinese to move on Taiwan.
Used cars are hard to come by, too. Part of the problem is inflation and people scrimping to pay for essentials, and part of the problem is also the lack of sufficient inventory.
You can thank Cash For Clunkers for that last one. Millions of still serviceable (and affordable) used cars from America’s fleet were scrapped.
Barry intentionally destroyed the lower end of the used car market with that one, and it has never fully recovered since.
My son is looking for a project car and cannot find one anywhere. He wants some old “Brick” Volvo from the 1990s to fiddle with and get back on the road. There are not any anywhere for any price.
That’s a shame. We had a late 90s 855 wagon that ran forever. NA white block. We got rid of it with well over 300,000 only because we were just sick of driving it. Did not leak or use oil. Still got great mileage and the tranny shifted like new. Covered with the famous Volvo high mileage badges. Best seats in the business. Sold it for $1,200. Great cars, as well made as MB or BMW of the same era, before Ford and the Chinese ruined them.
Keep looking for them, as they still pop up from time to time. Because they are now a little market obscure, the demand and prices for them are not quite so nuts for them, like they can be with the later P2 models.
There are used cars all over the place, just too many broke B!tches who don’t wanna spend the $3000-4000 a cheap one cost.
Yup. Automatic transmission cores, that could be rebuilt, went from $100-200, to over $1000.
And without a transmission, a car is just a lawn ornament.
I keep getting calls for my Mom’s 2015 Equinox. Every dealer in town wants that “little old lady’s” low-miles SUV. Nope. Nope. aaaaand Nope. It’s my son’s car now as long as he drives Mom wherever she wants.
They don’t want her car, they want to sell you a new $50,000 one.
I drive a 2006 Equinox, in great shape. I keep all the maintenence current. And it is locked in my garage every night. About two years, we became aware in our rural small town in central Oregon that such older cars were high on the “what to steal” list that formal car thieves in the area were using.
Methinks their current movements are merely a boxer’s round vis a vis Taiwan. Feeling them (and our Gov’t) out, methinks.
The problem is high and numerous taxes, along with too many POS welfare recipients who don’t have any money to spend within the US economy. (They buy chinese made flatscreens and junk all day long though.)
I think we are still feeling the aftershock of Obama’s “Cash for Clunkers,” which purged millions of the oldest but still servicable cars from the market–hitting the poor hardest, of course.
Residential air conditioners, windows, commercial flooring, sewing machine parts, are a few shortages I’ve encountered in the last month. Was told by someone I presume to be credible that shipping containers and even ships are in short supply right now. I believe almost every industry is being impacted.
I’m pretty sure Pelosi and the unions are keeping those container ship in the ocean in LA. These people have some crap up there sleeves. If someone were to look into Pelosi’s communications they might possibly see that she is colluding with the LA Dock workers. The more stuff she keeps in the ocean the less the Red States have in stock.
One of China’s major ports is now closed…
Shipping container inflation
https://www.zerohedge.com/commodities/shipping-container-freight-rates-slow-amid-record-high-prices
Port capacity affecting retail availability
https://www.zerohedge.com/economics/worlds-third-busiest-port-remains-partially-shut-china-stoking-fresh-supply-chain-fears
The business of shipping containers – yup. Worldwide and with a back log going out years….I saw some kind of documentary on that a couple of weeks ago. It’s a mess, with no solutions in sight.
Wonder how Amazon is getting rid of their mountains of returns and overstocked items? They have a huge market for shipping containers.
I see. Thanks Oldersoul.
And China is buying our pork like crazy because of a swine disease and dreadful floods killing off the home grown supply.
Some makes of tires unavailable now. We have a car repair shop. Hubby is 65 and says he does not plan to retire because he doesn’t trust the government .
Try buying PVC fittings, there have been shortages for months.
?????? I’ll think about that for a few minutes.
Commercial electronics – stuff like PA amps and mixing consoles have long leadtimes.
I see that in some of my hobbies as well. Passive parts that were once warehouse inventoried in the hundreds or thousands of units are often down to 10 or 20% of those earlier stock levels. And the prices have skyrocketed. A $1 or $2 capacitor is now selling for $5 or $6, because they only have 50 on hand. That adds up, as some more complex components that can take 40 or 50 caps across the circuits.
Component product manufacturers who are mass purchasers can only get so much of a discount, even buying direct from the parts manufacturers (and not a distributor). So besides the chain shortages, they need to absorb or pass along the added cost somewhere. That spells inflation to the final product.
Welders, Paint, Autoparts, Gaskets, Hardware, Computers, TVS, FOOD, shortage on everything. My welder is stuck on a container ship off LA coast for 5 months now.
Why is it stuck on a container ship off LA coast for 5 months? Obviously a lack of workers to unload the container ships and a lack of truckers to deliver the cargo. My answer would be to get the National Guard involved to catch up on the backlog for a short span of time but the PTB like what is going on and I truly believe only GOD can stop these evil monsters diabolical plans for us.
all
On regional TV news out of Portland, OR last night…a bit featuring auto parts shortages. Interview with auto repair shop owners and managers in which they said that major auto repairs that used to take less than a week are now taking up to a month because of the inability to get parts.
They also specifically said that the shortages, beyond parts, include the small cans of oil for oil changes. They cannot sustain their local inventory for their customers because the product is simply not available.
We just dealt with that on one of our vehicles. Genuine OE brake rotors for a major make were on global backorder, with no ETA in sight. We substituted a high-end aftermarket product from an OE manufacturer, that is 99.999% as good as the Genuine one (honestly, it IS the Genuine one, without the logo), for about 65% of the cost. And we were lucky to get those.
But not everyone is that lucky.
Dealers and independent shops are encountering this everywhere now.
You can even see it at your corner hardware store, where at one ACE I was told they were only getting in 30% of what they ordered, and that the deliveries were sporadic. That is why you may notice more open shelf space on occasion.
This was all primarily caused by the last COVID shutdown, as supply chains (domestic and global) work over months, not weeks.
This is what happens when your politicians and corporations sold you out and moved everything to China.
This is all the Democrats and their Billionaire buddies who got rich off chinese sweatshops. China makes a product they bring it over to the USA, Clinton Cronies sell it for 10X and they all became billionaires.
Try to buy a major kitchen appliance right now such as a refrigerator… or a Generac emergency standby generator for your home. The most popular styles and sizes are out of stock and have very long lead times…with many having an unknown restocking date.
Try to buy replacement parts for the more popular brands of refrigerators, dishwashers, washing machines, etc. It’s a crap shoot if you can find the part you’re seeking, whereas just 2 years earlier one could find any part they needed for just about anything.
Try to buy replacement parts for heavy equipment machinery such as winches, electric motors, hydraulics, and small to medium gasoline or diesel engines. A relative in the USCG says they are having an exceedingly difficult time replacing auxiliary shipboard machinery, causing cannibalization and “jury-rigging” just to get tasks completed.
Alot of Kitchen appliances, dish washers, Stoves, etc. are on the container ships off LA coast. My local hardware store has been out of stock and waiting on their Stoves for 4 months.
Yep. My refrigerator ‘s compressor crapped out in February and we could not find a replacement part in the U.S. It was a major multi-decade long popular brand. But although it was in pristine shaper otherwise, we were forced to scrap the 9 year old unit and replace with a unit smaller than the previous unit and smaller than what we wanted ….because that was all we could find in our area within 2 days….to prevent food spoilage.
I got really lucky this past weekend. Went into our small town furniture and appliance shop. Just looking around. Spied a large upright freezer and a Speed Queen washer/dryer set. SQ’s are American made and just don’t break down. I snagged them all! Owner said they’d waited 6 months for those! My oven is crapping out. Will go back and get an oven too cuz everything he has is his current stock. Decent prices. Honest man. No waiting if he’s got it. They’ve been in business for 70 years and do things the old fashioned way. Probably should go ahead and get those new tires and a tune up on the vehicle. I’ve been thinking what “investments” I can make on tangibles that will hold for some time.
china makes some ingredient that goes in golf cart batteries and those trojan batteries made in new mexico have a back order till end of august and we are signed up on a waiting list to disperse them when they arrive from new mexico weekly we are stock piling tp, toothpaste, batteries, water, canned goods,detergent, soap, anything that does not spoil and only buying when on sale
We needed white to replace some appliances fridge the most, got lucky on craigs list on a side by side 4 yr old fridge ask the guy if he know of anyone with a freezer upright 25 cb ft he say’s yeah pulled them all from a big remodel. So we got the fridge, freezer dishwasher for a grand and he delivered and hauled the old ones off, got lucky for a change!
Wow. I had no idea the situation was that bad and I read three news sites constantly.
I think the media is deliberately down playing or outright spiking this information. Everything I cited was anecdotal – either as a result of my or some close relative’s or some friends and neighbors shared stories searching for said equipment over the past 6 months. So this was information from people who didn’t read about it – they experienced it directly.
I’m in the Mid Atlantic region; at least two of my sources live in the Southeast and two live in New England. Two suppliers I checked with for generators are in the Midwest. So I’m not certain of how these shortages may vary by region.
We bought a Generac for our new facility. A facility which likely won’t be done until next year.
The supplier said to order it now or he wouldn’t be able to guarantee we’d have it when we need it.
That’s what I was told about two weeks ago. They’re out of the models in my kWh range and won’t have them available until next year.
Here in California I think we’ve bought up the vast majority of the emergency generator supply. Everyone up in our part of the woods of Placer county has at least two of them!
Sounds like a third world country we all live in now.
Third world country / Democrat-run country
potato / potahto
Try buying a torsion spring for your garage door, not available most places online…3X the price 9 months ago! In ground Swimming Pool components-Salt cell(converts salt to chlorine for pool disinfection)-9 month wait or 3X regular price…pool filtration systems…same thing. Chlorine tablets-tight supply, 3x cost- Major appliances-mostly built in type in specific colors-out of stock, no back order. Many Repair parts for appliances-out of stock. Neoprene, chloroprene gloves-4x normal price if available. Nitrile gloves-6x normal price-no brand choice.
That’s just the stuff I see and have looked for past 40 days out of need/want…
Many cars at CoPart auction…late model, minor damage, totaled by insurance due to lack of availability of replacement parts-not just chips-less cost to total than pay for rental car/loss of use while waiting on parts.
Trumans line about wanting a one-handed economist, still rings true!
Inflation is a tax.
And an increasing tax MOM
She knows 🙂
…and BUILT into the FED’s protocols for operation…they attempt to keep it to their target of 2% a year
Democrat politicians will economically destroy the Blue States.
Why stop with the blue states? All must be brought to heel, especially those that may allow the next “one such as him to rise up again”.
Jobs is a lagging indicator so that will be next.
Good times, good times.
Both of my adult sons work for major skills/high experience necessary large outfits (one in Oregon, one inColorado) and are logging between 30-63 hours of overtime per week, which has been going on for MONTHS.
That is not hyperbole. That is not exaggeration. I ask them. They tell me.
Nobody wants to work
I just came from a wedding in Western PA. My relatives from upstate NY told me the same. My nephew works as a construction machine mechanic and he making money hand over fist via over time. Two of my cousins, from the same region, are construnction equipment operators and they need to supply 2-weeks notice to take off more than 2 consecutive days from work.
Irony is that not many of the immigrants being brought in can do any of the skilled jobs that are open.
But they can vote democrat. They supply cheap labor for mowing lawn, manual labor and other low skill jobs like flipping burgers and washing dishes. Those are the republican illegal aliens and even legal immigrants they love.
My son also. A machinist with programming experience. Works constantly.
Sorry to tell you, but working OT is not gonna fix most peoples problems. I worked 90- 100 hours a week. Most people will go backwards financially doing so. It’s not that nobody wants to work, most are tired of the BS high taxes and working for some idiot boss who will let you go and not blink an eye. Financial freedom comes from not having to be someone’s B1tch. Excuse my language.
Good grief–I didn’t mean to suggest that OT fixes problems. Both of my sons are debt-free and are NOT working OT to solve financial problems. They are working those hours because of their personal work ethic because if they refuse to work, the ripple effect on to the business(es) and fellowship employees would be significant.
Maybe I did say that OT fixes problems. Didn’t think I did.
Both of them pay cash for vehicles they need and have financial freedom. They are NOT working that OT to pay bills. They are working that OT because too many people don’t want to work at all and they are willing to work those hours to support the place they work for.
Well they are still working for someone else. So the work ethic isn’t really the best.
Financial freedom comes from being able to work when you want to, or just stay home and work on your own stuff, etc.
Oh.
As long as you don’t become dependent on the gubmint, you’re doing all right.
More than 50% of the working people are getting handouts every year via refundable tax credits. They are already dependent on the Govt’
I’ve heard that all over.
Everything moving along exactly as planned because they know covid will continue to prevent us from voting them out.
This would not be happening if real elections still exist. If real elections still exited, Trump would be President.
New car sales are down because manufacturers have no cars to stock dealers with. It is a parts supply issue. They are expecting to have better inventory in the coming month. Used auto sales are through the roof because of the new car shortage at the dealers.
It is all regional, for major consumer items. Likely a difference between where middle class money still exists vs where it has dried up.
The car lots in North Texas are over full.
I live in North Texas. You are not correct. The local domestic dealers have maybe 20% of normal inventory – especially trucks.
My friend went to the dealership to get his oil changed on his 2021 3/4 ton Chevy truck. The used car manager came over and offered him $10K over what he paid for the truck on the spot. The truck already had 15K miles on it.
I live in Ellis County. There is a huge new car storage facility in Midlothian. It is packed to the brim with none of them moving out. All of them waiting on a computer chip.
I live in Collin County and ALL 6 dealers 5 minutes up the road near McKinney are full at this time.
Plus, we had gotten the same e-mails for our last two 3-year cars from dealers offering way above blue-book, before the sham-demic.
I will take a pic of the local dealers in my area. All of them are nearly barren of new vehicles. The Ford dealer in Desoto has about 10 trucks on their lot. Same with the Dodge dealership in Waxahachie. All the used car lots are just as barren. The local used indy car places have a handful on their lots.
I used to be on the car business and my good friend still is. Your Collin County experience is the exception.
Maybe they are empty because they are going belly up. When you give out loans through the company finance arm and load every jo blo up with debt on $50 – $80,000 dollar vehicles, Eventually you go out of business. I had a friend who lost 2 dealerships under Obama… his lots were empty too, before being bought out.
Used car sales are lagging in many areas due to the lack of inventory. There is a chip shortage which has affected new car inventory levels. When people can’t find new cars, they aren’t trading in their old cars, thus the lack of used inventory. This lack of used car inventory is causing a bidding war at the auctions thus raising the price of used cars. Dealers don’t want to put money into reconditioning their already high priced inventory and that affects reconditioning vendors. It’s called trickle down suck. Thanks Joebama.
A lack of chips ,or lack of Disposable money…
LMAO???
Maybe would could make cars that don’t need every bell and whistle like we used to. I know, I’m dreaming of a world before the horrible computer age arrived.
The govt’ won’t allow it. They have to have devices, or methods of spying on you.
I know of a guy that had bought a New tractor a few months ago, still under factory warranty, needed a repair; the dealership couldn’t get the parts for the repair so the guy stopped making the payments. The dealership has not even tried to repossess the tractor cause they can’t fix it to resale.
That’s interesting.
Used car prices are also increasing. I was just starting to look around as I have a 12 year old car…still in good shape and never had a major problem of any kind; looks good too. Well, just in the past couple of months prices have gone up oh by about 25%…no kidding…at least on the make and model I have been looking at. Oh well, wait for it to all crash again
Saw a used car dealer tv ad yesterday. They are willing to give you 120% of Kelly Blue Book value for certain models.
New car sales are down because the $40,000-$80,000 vehicle price is too high. When you have pickup trucks selling for 70,000-$80,000 and basic cars going for almost $50,000 new…. the economy will not sustain that. Everyone who is dumb enough to borrow will and then the economy will implode in almost all sectors afterwards. A little nudge like $4-6 gallon fuel will always do the trick too, especially for people who drive over an hour to work one way… They will spend well over a car payment per month just in fuel costs.
I was shocked when I was looking for a new vehicle recently, the prices were outrageous and they have financing for up to nine years? I’ll keep my 2000 Camry, thank you.
Just looked at a mid level newer Silverado with 60,000 miles. Dealer wanted $58,000 for it LMAO.
I said no thanks and bought a used Nissan pickup that just needed tires for $5000.
People need to be lighting up their phones in local/state gov’ts
Get vocal about the election fraud and get vocal that this Commie Govt needs to resign
I know of two items that haven’t seen a slump in sales: ammo and firearms.
Number three is most likely emergency food supplies.
Just sayin’
Depending on where you are ammo is becoming more available again and not *as* expensive as it was. Gun prices are also starting to come back down to “normal”. Budget ARs that cost around 500ish dollars before the Wu-Flu jumped to 800+ dollars. Now they’re starting to come back down to a more normal price. Same with pistols.
Guns aren’t wiped out on the store shelves now either. I think everyone that wanted one got one. Anything else is just extra at this point. But then again I’m in TN so we get a lot of traffic from NC, VA, and other states to buy guns and ammo.
I got lucky last year and found a Windham 7.62 X 39. I still want his big brother the .308.
Once the food delivery system is impacted, then the masses will start feeling the real pain from this insanity. Food is a great motivator. And more food stamps are useless when the counters are empty.
If the current parts and other systemic shortages are not resolved soon, this will inevitably follow.
Many of the hungry idiots will have voted for this. Be sure to remind them.
That is why any further shutdowns and restrictions must be fought intensely.
In the meantime, buy a spare can opener and stock up when on sale. Canned foods last for many years.
I was in a local gun store just last Friday. It was fully stocked – all the ARs, pistols, hunting rifles, shotguns, and ammo you could want. The prices were considerably lower than just a few months ago. Still not down to “normal” prices, though. Ammo for ARs, .223 and 5.56, was down to as low as 50 cents/round for some imported brands. I’ll buy ammo imported from South Korea, Israel, and Australia. I’ll never buy it imported from Russia.
While I was there I bought a 12 gauge Mossberg 500 and they gave me a box of 00 buckshot. I would have bought more shells there, but I know where I can find them a bit cheaper.
I need a new phone. I’ve needed a new phone for months. This one is cracked and barely responsive, takes days to send or receive text messages. The one I’m intending to get is $80… but diapers are more important. The car having gas so my husband can get to work, is more important.
Still, I haven’t given up hope – some of what President Trump did for us hasn’t gone yet. We just bought a toddler toilet the other day – proudly emblazoned with Made in the USA. Bought a lidded tumbler* last month – also proudly Made in the USA (which, I was wondering, has anyone here heard of Tervis? That’s the brand.) Some manufacturing is still here, that five years ago, Cheap Chinese Crap would’ve been the only option.
*I’m a nursing mom with toddlers, a reusable drinking vessel with a lid counts as essential. xD
Tracfone.
At Dollar General et al.
That’s what I have a tracfone. I have an older model Samsung Galaxy which I love. Bought it for maybe $90 on Amazon and came with some free minutes. I buy a 3 month card for $20 four times a year. I have more than enough minutes but I also have a landline…landline costs more than smart phone right now.
“I buy a 3 month card for $20 four times a year.”
Same here, but I still have triple minutes as long as my current $20 tracfone keeps going.
But landlines work in rural areas when cell phones don’t have service.
I use phone apps for work, heavily, so I need a solid phone and solid data plan. I’ve looked into Tracfone before but I don’t think it would meet my needs.
Suggest looking for refurbished phone available on manufacturer and other websites.
Not new, but if that doesn’t matter it’s worthwhile.
In the last twenty years I have not paid more than $300 for an Android phone and never regret it.
I was hoping to get one of the last LGs before they’re all sold out. I can’t stand Motorola, have zero interest in iPhone, and am not wild about Samsung. Those are the options for my carrier…
I love Treepers! What lovely people to help with all the suggestions.
I have a chapter in my book I’m writing… “This Chapter was – unexpected.” For this very reason.
Trading what to look out for, not a how to. I despise con-artists.
USD continues to collapse.
I feel lucky because what I read here doesnt apply in my area. We are packed with tourists spending money hand over fist, brand new car purchases everywhere I turn, new houses going up every where you look, plentiful job openings, my grocery bill is down twenty bucks a week shopping at walmart over HEB. Gas is more but we pay it. My son commutes to Austin but he said he doesnt care, doesnt even look at the price. Everyone is in good spirits and enjoying life. We hate Biden but it doesnt make us lose focus. Like I said, we are just in a lucky place.
Sounds like Texans are ‘enjoying’ life all right. What a difference it is to live in a free state, far away from these increasingly draconian edicts, lockdowns and mandates.
Everybody should try living as a free American again! I highly recommend it ??
We have people out and about too but my grocery bill certainly isn’t down. I don’t do Walmart so maybe that’s the problem.
Everything looks good, until it doesn’t… in 2007 The economy was booming similar to what I have seen lately.
It only takes a year, or so for that to stop. High Gas prices are gonna clean most peoples money clock. A rock and hard place is when gas gets so high it is more than your mortgage, or car payment per month. For people who drive 60+ miles and work 6-7 days a week they might spend over a $1000 just for gas alone, especially if you have a truck, etc.
I can remember when oil prices were so high, and winters so freezing, we were booted off automatic delivery and had to pay for cash deliveries. More than once our oil tank ran dry and we had to prime the pump before we could get another delivery.
Those were days I’d rather not see again. But I’m sure the fascists are counting on it.
There’s that word “unexpectedly”… ranks right up there with “suddenly”. Those on the ground experiencing Carter style inflation with more to come saw this coming the second O’Biden stole power. To us, there is nothing sudden or unexpected about it.
increasing WIC and Food Stamps by 25 %…. talk about guaranteed inflation. For everyone not on Food stamps… enjoy the show. Every single grocery store and producer is going to feel zero market pressure to keep prices down. In fact, prices are probable going to rise another 28 to 40 percent because of course they are.
Unused EBT card value can be converted to cash or barter. Freebee money from Biden.
The truth. This is the truth. Thanks SD. I wish I knew a solution , but we are stuck with a fake president and a globalist government. Please help us God.
Ima need to get me summa those food stamps….grrrr
None of this economic information is surprising. The Odumbo Sorass Globalist crowd want to crush America to increase their power and control. The America middle class is what’s standing in their way. These pieces of human trash can’t destroy the nation fast enough
“Employment is currently stable (especially in the freedom zones)”
With all due respect, I completely disagree. I live in a freedom zone and our economy is on the edge of booming. The problem, we cannot find enough labor. It’s not just my business. It is our vendors and our customers and it is an issue across the country.
The federal government continues to be our largest competitor for labor. Why work when you can sit at home and get paid.
This article gives me a glimmer of hope. Two things can happen. The government can double down and increase the freebies or, hopefully, people will have to go back to work.
The employers are forced to ‘increase the freebies, ’ that is, if they can withstand more shutdowns for every cold and flu season. At some point people need to realize that working is much better than sitting home expecting government handouts.
Just ask the EU. The socialists went nuts after President Trump stopped subsidizing them and their ‘freebies’ suddenly ran out. If we allow the fascists to shut down our business community, the same will happen to us.
Ellis: personally, the deadline from my current employer to get vaxxd or lose my job is 21 Sept. I’m doing some looking now, but I will NOT take another job with a potential future employer requiring vaxx or face masks. I will make that clear in any interview: the day these are required is the day I resign.
I want to work, but employers have to refuse to be enforcers of unconstitutional, immoral mandates, decrees. As soon as they do, I WILL walk away. I’ve liquidated as many assets as I could anticipating very turbulent, sporadic work and wages in the next couple years.
I feel for employers, caught between a rock and a hard place, but a certain number of the non-working workforce is done with employers bending over for the government and in turn bending over their own employees. Some of us stay home for a reason, and it’s NOT because we are lazy……
My oldest son knows that’s coming in his job. He’s already told his manager that they can just plan to fire him. The manager’s response was, “They’ll be firing me, too.”
In all honesty who wants to work for someone else? I don’t …. and won’t unless I’m getting paid $50-$60 an hours minimum, after taxes and expenses that gets down to ~$30-$40.
Not everyone has the skills or “want to” to work for themselves.
Everyone has skills, some just don’t manage their life very efficiently.
That arrow is going to hit him right in the ice cream cone.
What flavor?
Welcome to MALAISE ERA II
Yes…. Jimmy Carter II…
If you gave me the objective of trying to destroy America, indeed the Modern Western world, I would be hard pressed to come up with a better plan than what is happening right now.
Tax hikes, across the board, would speed things up.
It is why Biden is in such demand by every Country in the World. Every Country wants to destroy the other Country and no one better than Biden.
Yeah, sadly, I think the chaos crew are really just getting started.
Hit the Dollar (Tree) stores and stock up your pantry. And, I don’t mean hoard toilet paper.
Our DT is still well stocked. Try out the off brands now and go for what works.
A good friend at my Dollar General Supermarket told me last week that they are starting to have severe supply chain problems…Truckers. They are starting to shift stuff around to fill the empty shelves.
Also, notice that stuff that you normally buy has been missing on the shelves at WalMart and Publix (if you’re down here) for weeks?
Yep.
If you previously laughed at preppers, watch the pin action.
The empty shelves at all stores in my area, including Walmart and Safely, are getting bigger all the time.
Still haven’t been able to find cucumbers…for a month now. In either place.
Yesterday I saw that the shelves with the giant mouth wash bottles were getting empty and they had nothing of the Colgate brand, one of which is pretty effective for me. What I usually purchase in that item is 33 oz/for about $8.
So, I thinks to m’self, “Well, maybe I just need to stock up (even more) with an Amazon order”, especially since my daughter-in-law has a prime account so I just give her my order and then I never pay shipping charges.
So I go to check availabilities and prices on Amazon.
The product I usually buy (33 oz) was not even showing as available. What they did offer, was two 15 oz bottles for about 2 1/2 times the price of what I have been paying for one.
So this morning I made a Walgreens run, figuring I might beat the rush.
Found two of the kind I wanted for the price I had been paying. Found a competitor’s product with the same active ingredients, and basically bought them out.
I pointed that out to her and she said, “Well, when you cancelled on the improved membership, you lose that price.”
So I used my inside voice and played it all back (kind of articulate and louder than usual, but I wasn’t yelling at her, and it wasn’t about her anyway…that’s obvious}….” and said, “Oh. Ok. In other words, I’m being penalized $3.00 today because I do not care to provide even more personal information. Got it.” Two customers in line behind me who could clearly hear me.
The corral fences–they be a’closin’ in, Cowboys and Cowgirls.
Wolverines.
I have no idea why that thing indented with a bullet–and I’m not going to try to fix it. I tried to fix something like that the other day and didn’t like what happened next. Not at all.
Weird about the mouthwash. Walmart has an end-of-aisle display of large mouthwashes. I forget the exact price. Under $3.00. This is in southeastern AZ. Prices up on many food items, of course.
The empty shelves are from the EBT crowd loading up…. I see it all the time recently. One EBT person with 2 carts full of stuff bought 10 loaves of bread the other day. They only stopped there because that was all the store HAD….. lol.
Probably turned around and sold it for cash so they could be alcohol or some other product they can’t buy with their EBT card. Yes, there are actually products they can’t buy with those food stamps. I remember when they were food stamps and my family used them for a short time but stopped because my mom HATED to use them.
When it comes to Walgreens you have to be careful to look at their sales prices because they almost always come with the caveat that you must have to have a membership card or be in their system to get their reward prices.
The way to think about the frequent shopper card reduction in prices is this: the store is basically paying you about 1 to 2% on your tab or so to legally collect and sell your personal data, including your shopping habits. Selling it to Google, selling it to the CCP even.
Think about it that way and ask if it is either a good deal or a wise one for the $5 to $40 you saved on your last grocery trip.
Anyone miss the Brightest Minds in Business ?
The President of the United States will Address the Nation this Saturday.
He has frens in low places.
Be there :p
Gasoline in Calimexistan is pushing 5 bucks in Orange County.
It’s getting to the point where even I have to figure out if I want to take the SUV or the Plug in when I go shopping.
And our electric rates are going up, of course.
My favorite bourbon at Costco, 1.75L Bullitt, went up from $34 to$37. Sure, it’s Costco cheap but that a frickin’ 10%.
The sad part is that this is all a self inflicted wound by the Far Left Fascists.
America, meet the Calimexistan Enviro-Fascists. Now coming to your State courtesy of the Federal Gov.
Perhaps, instead of picking up on us, millions of conservatives in California, you might want to join us and get rid of all of them.
What’s sick is the Leftists don’t even give a hoot…. they know everyone is spending more money and getting less now. They are still proud of Bidet stealing the WH. Then you have the rich leftists, heck they are still living the life, going jetset and vacation all the time. Most are even richer now from the fake markets going up.
left bj costco and later sams club as why pay them to buy from them find items cheaper if shop around
This definitely explains the slow down in work for me. Not to get into details, but my work load depends on consumer spending. Suddenly, this week, no work. Wow. They just hired more people for this job. They make really bad decisions.
“Economic pressure works to the benefit of the command and control authority”
This is essentially a market share battle between the public and private sectors. The public sector wants an end to the Main Street economy because it is the jobs engine as well as the crucible of aspirational energies, e.g. self-reliance, personal responsibility and prosperity through hard work, self-empowerment, etc.
Government wants to be the sole employer-of-record, with everyone’s ‘paycheck’ being the UBI. Lockdowns were a police-power cudgel wielded by the public sector to deliver economic cessation. Dependency is the coin of the realm in a neo-feudal Marxist hellhole.
Covetous of all that they have acquired, prosperous Americans will commit the fatal error of delaying a spirited response until it is too late, which it is increasingly looking to be.
I work in the timber/log business. Right now prices are taking a dive. This is an indicator of things to come….sadly.
I seemed to remember hearing that the loggers weren’t getting any of that largesse when the price of lumber was going off the charts. Same thing for those who raise beef cattle. Billions/ Trillions for the super rich and debt for the little people.
One bright note though – nonessential gun purchases have surely gone up.
Car sales have plummeted due to lack of inventory. Check out your local car dealer. They have nothing to sell you because of a computer chip only made in China. Thousands upon thousands of cars and trucks are awaiting this chip. The backlog of vehicles is tremendous. This has lead to a huge increase in used car prices nationwide.
This is true – SIL is Sales Mgr for large dealership here and Wake Cty (NC) and has indicated this many times..
That’s a major problem when we have to depend on foreign countries for essentials and have no way on our own. Needs to change. Among many other obvious things.
I’m guilty of not being a good consumer. My goals are to be debt free and ready for when bidennomics really kicks in, so being frugal has become a way of life.
Biden wants to do away with 401-ks. Now is a great time to get out.
They’re not going to do away with 401Ks, too much wall street involvement with 401s. Let’s say though that if the gov does anything with them, they will move it over to a gov controlled program, spend it all and leave you with an IOU that you can’t cash.
son is still awaiting tax refund since april and when contacts them it only states pending /IOU
The federal government is now in total control and the blue states are totally dependent on them. Red states will be punished severely. California recall election coming up. It will be interesting to see if any election fraud. JoeBama handlers top priority is destroying our middle class wealth. Next flooding the country with immigrants and by the way soon there will be refugees fleeing the Taliban terrorists in the Middle East. Meanwhile the CCP is watching the USA self destruct.
Reporting from here on the ground in flyover, i can anecdotally confirm this. Coworker and I were discussing the other day why sales have been so tough to come by the past month or two….thinking it was maybe the back-to-school spending that caused the problem, but….
The economy already rolled over, there are some outliers like areas with wealth, etc. Eventually the slowdown will hit all folks though, it’s only a matter of time. Gas prices always do the trick, on top of having Bidet creating chaos in all markets, Food, etc.
Is there a possible silver lining in this plus Afghanistan failure in that people who took the “no voter fraud” line at face value start to look more closely? As they stare down 3.5 more years of this, perhaps the boiling point comes soon enough that audits get demanded and completed so that the election in a year cannot be stolen from us again. Maybe it’s just me looking for something – anything – good in this mess.
I have/had enough credit card points to get $125 in guft6 cards to national chains. I thought about cashing them in for $50 to Lowe’s for garden supplies and weather stripping for the doors, $50 to Home Goods for some fun house or kitchen things and $25 to one of the many chain restaurants. The only one I got was Lowe’s. I’m hanging on to the other points for now because I might need them to buy household essentials. I wish they included supermarket chains as an option.
Will this lower the cost of vehicles? We decided to wait because of sticker shock in April. Hoping the price will drop reasonably.
I am shocked by the prices in the grocery stores……………….
Just think….a brand new F150 without Chinese computer chips. Lol!!! Thanks
Since we can’t produce them you will end up with a carburetor and points if you are lucky.
In my opinion, this is a purposeful move to food /rent inflation for the people and rent seeking by major banks and multinationals. They will use inflation to try saving the dollar and move to central bank digital currency for those left after the holodomor and depopulation from medical experimentation.
We must use systems engineering to create a self building movement to stop this plan
. . but maybe auto sales are down also because many people are not commuting to work and therefore not wearing out their machines. Low income people often need to keep their cars until no longer worth repairing.
Depends on what type of low income. Real low income yes, Welfare bums no…. Welfare bums are driving nicer vehicles than I have seen in years. Brand new Cadillacs, Mustangs, Camaro’s ,SUVS, etc. They get a new one every year as tax time comes around.
I think so. I used to easily put 18-20K miles on my car every year. In 2016, I started working from home and it went down to 8-10K. I moved in 2018 to a place where stores and restaurants are closer to home and I retired in January, 2020. Now I’m putting 5K on my car each year. It will be more once I start taking road trips again. I’ve gone on only one of about 600 miles so far.
I live in rural America. Where things were returning to normal, shelves are empty, fast food joints are closed, mom and pop restaurants are closed or struggling to serve their food. Building materials are through the roof, no pun intended. Gas prices up $1/gal.
These buffoons in DC are totally f’ing up the country.
They really are, Trump[ just started to turn this ship. The economy has been fairly crappy since Obama. Trump got the businesses to invest and spend which spurred job Growth. Now local companies are not spending at all on capital investment, etc.. I myself am not spending either… Taxes are too high too.
here in iowa pretty much every mom and pop store,restaurant hardware etc is open,gas 2.87 here in town and lumber is actually coming down.back in april/may a 4×8 sheet of 1/2 inch cdx plywood was 68 bucks,right now its down to 28 bucks.a year ago it was 24 so i have been holding out for about 8 sheets to redo the side of my garage.i have pretty much shifted to essentials and away from luxury items.the house and property come first.2 things to hurt the supply chain right now are big truck tires and def fluid for trucks.i have had 2 tires for my truck on order for almost a month and no word yet,they better show pretty soon or i’m s.o.l.
Automobile sales in the U.S. have been declining for years. Ironically, one of the reasons is that cars last longer now, and people are not car crazy any more. It stands to reason that as disposable income shrinks (even with a wage increase), automobile sales would take an even bigger hit.
The cost of everything is going up. Im seeing it as I cross the country. Know whats not going down? Taxes! Fuel tax is as high as ever.
Taxes keep going up because leftist nuts in the Govt’ are abusing us all. They are doing the reach around into our pockets, coming up with new mandatory fees, etc. Then they turn around and give our money to Welfare EBT Bums who vote for them which is also why the Store Shelves are empty.
RECESSION….that’s what’s coming. If you don’t own it prepare for the repo man to visit you soon. An entire generation has never experienced a recession. They have no idea what is coming. Car payments, credit cards, and all the ignorant habits learned in years past. Guess I won’t see people using their credit card to by a coffee in the drive up window any more. Watch for the market to take profits with NO warning and crush the little guy again.
We are gonna have a huge Recession. Look at all the people driving around in $70,000 pick up trucks and $50,000 cars. There is no way the economy can support that price level. Not only that, but with record high housing prices, etc… Repo man is already busy in the midwest.
I’ll tell you what’s not declining in sales: firearms and ammo.
How long until “Homeowners” ie. financed houses have a severe drop in market value, being (AGAIN!) “under water”?
Also, with our “just in time” supply chains, while they are efficient, they are extremely fragile, so shortages are going to be “the new normal”.
That picture Sundance uses so often, of the big city and the small community, is becoming more real by the day.
Got out of the city years ago, am looking to move farther out, now.
For gosh sakes, treepers if you haven’t yet, make your move, as its only going to get worse!
The big cities are overheating and trouble is brewing. People are also becoming meaner within them.
It’s not just the working class every tech worker, finance guy, doctor/nurse, and other white collar worker facing vaccine mandates is bound to be cutting spending if they aren’t willing to be vaxxed.
My household is bracing to lose 60% of our income in September or October when my employer plans a full vaccine mandate.
I’m no longer spending on anything I don’t have to and have even started budgeting for weekly food and cut out any extras like restaurant food even fast food and prepared food at the grocery. Cooking from scratch instead of convenience foods. Even dug through the house for school supplies left over from previous years.
I am not poor, but I am being forced to cut spending – how many others are like my household?
I have read many articles on this web site. Most are politically oriented and spot on. This article is incredibly prescient! Nothing gets people’s attention more effectively than economic chaos. Never allow politics to drive your investment decisions is the old saw. However, the incredible and purposeful destruction of this nation’s economy is being orchestrated right before our eyes. Be vigilant. Be defensive. Carry NO debt. Squirrel away resources. Be mindful of general economic trends. Watch the stock market for indicators…..
Stay with CTH for prudent advice.