A bit of a mixed bag of economic news this week to review, along with the an update on the latest meme stock (BBBY), some good credit card detail, and how folks are preparing for the restart of student loan payments....maybe.

Economics

• Retail sales stayed flat in July, with money saved on gasoline going to fill other needs. (CNN)(AP)
• Housing starts plummet in July, but manufacturing is holding its own. Read all about both here. (Reuters)
• Existing home sales dropped 6% from June to July and were down 20% from July 2021. (CNBC)
• But unemployment claims dropped a bit last week, with no signs of massive layoffs on the near-term horizon. (Yahoo Finance)
• Quiet quitting is the rage on TikTok. Learn more about this trend. (Today) (Yahoo Life)
• Is it possible that the CPI is not capturing everything that is going on related to inflation? Learn about the concept of “trading down” from this Booth School post. It was first launched during the Great Recession, where wealthier people trade their upscale shopping experiences for places like WalMart, and everyone tries store brands over name brands. (see WalMart earnings CNN).
• For this week’s take on “why there may not be a recession,” check out this slightly more global perspective. (Jim O-Neill--Project Syndicate)

Investing

• Bed Bath and Beyond, the latest stock to be swept up in the meme stock roller coaster, is set to crash again and key investor announces sale. (CNBC). In the run up, a 20-year old made $110 Million. (WAPO)
• If you would like to check out another visual aid in demonstrating compounding and the value of investing sooner rather than later, CNBC just published one.

Credit

• The Economist tackles the topic of the Visa and Mastercard duopoly and the system of interchange fees. Will any competitors or proposed legislation change the playing field? (I know I have often seen a 3% credit card surcharge added to a variety of goods and services this summer in the name of “supporting small business.”)

Paying for College

• A survey by ScoreSense suggests the majority of student loan borrowers will have trouble fitting loan payments back in their budgets come September when payments are slated to resume. (PRNewswire)
• Using scholarships to advertise?  Apparently some brands feel this is the way to get through to Gen Z. (Smart Brief)

About the Author

Beth Tallman

Beth Tallman entered the working world armed with an MBA in finance and thoroughly enjoyed her first career working in manufacturing and telecommunications, including a stint overseas. She took advantage of an involuntary separation to try teaching high school math, something she had always dreamed of doing. When fate stepped in once again, Beth jumped on the opportunity to combine her passion for numbers, money, and education to develop curriculum and teach personal finance at Oberlin College. Beth now spends her time writing on personal finance and financial education, conducts student workshops, and develops finance curricula and educational content. She is also the Treasurer of Ohio Jump$tart Coalition for Personal Financial Literacy.

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