Maybe that Chinese yuan devaluation I mentioned yesterday was important. Sure seems that way given the disastrous export/import data we got from China overnight. The data combined with the devaluation suggests all is NOT well over there. But after initially selling off hard, U.S. stocks bounced back to roughly unchanged by the afternoon. We’ll have to see if this key 2,120-2,140 area on the S&P 500 can hold over the next few days.
There is one other thing worth pointing out: The bust in commercial real estate is definitely underway. Here’s a Bloomberg story I came across that describes how New York City’s apartment supply is soaring, vacancies are rising, concessions are surging, and landlords are getting nervous. Expect more of that kind of news over the coming several quarters, in Manhattan and beyond. Oh, and stay the heck away from REIT stocks because of it!
