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No Housing Spillover? Retail, Auto Weakness Tells a Different Story

The housing slow down is as much of result as it is of an effect. The collapse of the sub prime market and mounting failures was a house of cards from inception. It's effect on the economy is real but not the reason we are having a general slow down. The price of oil is a considerably greater factor. It's not only the price at the pump, but now the fact that oil is an ingredient in nearly every manufactured product is not only raising cost that are difficult to pass on but the inflationary effects are more difficult to mask. You are a smart guy so unless you are blind to your own experience you know inflation as reported is a fraud. I could list 100 ways they have increased my personal expenses recently in stealth steps, like removing the pockets from my shirt, fewer belt keepers on my trousers, by billing separately items formerly included, by moving up the due dates etc., on and on. Vic