The number of "stale" home listings climbed above 60% in July, Redfin reported. The number reflects the year’s surge in mortgage rates and concerns about the economy as homes linger on the market for longer. The Federal Reserve is credited with helping home prices shoot roughly 20% higher annually.

Historic data shows home prices only once went negative during downturns in the past 46 years. The plunge around 2008 that took years to heal. The Fed can’t solve America’s longstanding affordability crisis. But its pandemic policies may have made things worse for many first-time buyers.

Barclays: Inflation potentially heading lower, or at least in the “right direction of travel” Barclays team expects shelter inflation to “begin to soften in the autumn,” but warned that inflation also could stay stubbornly high. Strong wages, a tight labor market and uncertainty around food and energy could keep inflation high.

The Fed continues to reduce its balance sheet, which hit a record size of almost $9 trillion. The central bank started letting more of its Treasurys and mortgage bonds mature, without reinvesting the proceeds. “They should have tightened last year, and they are behind the curve still,” Chen said.
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