By The Numbers - September 2018Submitted by S. F. Ehrlich Associates, Inc. on October 1st, 2018
Source: Direxion Funds
September 30, 2018
- Foreigners have increased their holdings of US Treasury securities from $1 trillion in 2000 to more than $6.2 trillion in 2018.
- In June 2018, the Congressional Budget Office projected that by the year 2048 (i.e., 30 years from now) the US government will spend as much money servicing its national debt as it will spend that year on the nation’s Social Security program. Today, our nation’s net interest cost is just 33% of our Social Security outlays.
- Borrowing $100,000 on a 30-year fixed rate mortgage at 4.53% (today’s national average) requires a monthly “principal and interest” payment of $508.47. Borrowing $100,000 on a 30-year fixed rate mortgage at 5.53% requires a monthly “principal and interest” payment of $569.67.
- 3 out of every 8 homeowners (38%) in the USA own their home free-and-clear of any debt, i.e., 29.7 million debt-free homeowners out of 77.9 million total homeowners.
- Less than 10% of annual retail spending in the United States is completed as an online purchase, less than half of the 23% of retail spending done online by Chinese consumers.
- 44 million Americans owe $1.41 trillion in student loan debt as of 6/30/18, a +139% increase (up +$820 billion) in just the last 10 years.
- 62% of American seniors (at least age 65) that file for bankruptcy do so because they are overwhelmed by medical expenses.
- 52% of the 2.4 million new jobs created in the United States in the 12 months ending 7/31/18 were produced in just 6 states – Texas (377,100 jobs), California (332,700), Florida (210,600), New York (117,000), North Carolina (106,900) and Washington (102,500).
- American households headed by individuals under the age of 35 were split 44/56 between homeowners and renters in the 2nd quarter 2004, i.e., 14 years ago. American households headed by individuals under the age of 35 were split 36/64 between homeowners and renters in the 2nd quarter 2018.
- The 3 best gain days (by percentage) for the S&P 500 in the last 68 years (i.e., dating back to January 1950) all occurred during the month of October.
- The average annual cost of hiring a nanny to watch one child is $30,160, equal to $580 a week.
- Approximately 75% of $421 billion of goods exported by Canada in 2017 (stated in US dollars) was purchased by American consumers.
- America’s 5 largest banks control 47% of all banking assets, up from 29% in 1998 or 20 years ago.
- As of the end of 2017, 19% of Millennials and 12% of Baby Boomers had no money (either pre-tax or post-tax) invested in the stock market. Millennials were born between 1981-97 and were ages 20-36 in 2017, while the Baby Boomers were born between 1946-64 and were ages 53-71 in 2017.
- Over a 30-day period beginning 9/07/08, the government took over Fannie Mae and Freddie Mac in anticipation of as much as $200 billion of mortgage defaults, the largest bankruptcy in the history of the USA took place (Lehman Brothers), the $700 billion “Troubled Asset Relief Program” (TARP) was signed into law by President George W. Bush, and a bailout of the nation’s largest insurance company (AIG) gave the government 80% ownership of the firm.
- An estimated 44.4% of all US individual taxpayers will legally pay zero federal income tax for tax year 2018 on their Tax Form 1040 that is due 4/15/19.
- 48% of 2,000 American adults surveyed in August 2018 thought the US stock market had been flat over the last 10 years. Another 18% of the 2,000 folks surveyed thought the US stock market had declined over the last 10 years.
- 19% of Chinese exports are purchased by American consumers, making the US the # 1 trading partner of China.
- The “cost of living adjustment” (COLA) made to Social Security benefits is calculated based upon the year-over-year increase in prices during the 3rd quarter of subsequent years. E.g., the COLA that will be applied to benefits paid in January 2019 will be based on the change of prices from the 3rd quarter 2017 to the 3rd quarter 2018. The COLA increase has been less than 2% in 7 of the last 9 years.
- 45% of 3,000 full-time workers from 8 different countries worldwide believe they could complete their workload each day in less than 5 hours if they were allowed to function uninterrupted throughout the day.
- 20% of the single-family homes for sale in San Diego dropped their asking price in June 2018, the highest percentage to do so in any major US city. 14% of single-family homes nationwide lowered their asking price in June 2018.
- Between 6/25/04 and 2/02/07, a period of more than 2 ½ years, no bank failed in the US requiring a bailout from the Federal Deposit Insurance Corporation. Between 2/02/07 and 12/15/17 (almost 11 years) 531 banks failed and required a bailout, equal to 49 per year or just short of 1 per week.