Inflation rates – both general and “core” – ticked down (slightly) in yesterday’s reading for April. Stock and bond markets reacted very favorably.

Daily Average 30-Year Mortgage Rate – slipped back under 7% yesterday for the first time since early April.

Financial Markets: After a very volatile 5 weeks – from the 4/10 inflation reading to the 5/15 reading – stock markets hit new all-time highs yesterday:

Bay Area Appreciation & Market Cycles since 1990. Below is the summary overview chart, a very approximate, smoothed-out graph of overall Bay Area appreciation trends.

The report includes over a dozen other charts that break out approximate median house sales price changes by county during specific market cycles, such as the one below.

Consumer Sentiment (Confidence) Index: “Consumer sentiment retreated about 13% this May [preliminary reading as of 5/10] following three consecutive months of very little change… [bringing] sentiment to its lowest reading in about six months. This month’s trend… is characterized by a broad consensus [of economic concerns] across… age, income, and education groups.” Joanne Hsu, Director, Surveys of Consumers, 5/10/2024

National house price and rent appreciation rates since 1980: A dramatic divergence since the pandemic hit (as well as previously during the subprime boom).

The Price of Gas: An issue that consumers are very sensitive to.