More than half hold education debt throughout their twenties according to the report, followed by credit card, car loans and mortgages. Interestingly, 94% of those surveyed said they save either when they can or on a regular basis. But what are they saving for?
> 76% in case of emergency
> 53% for major purchase in future
> 41% trip in next 12 months
> 38% for retirement
> 36% down payment for a home
This is why homebuilders are building so many apartments, because this generation probably saw someone in their family lose a house and are simply afraid. This is a very smart generation, but it seems to be very emotional as well. PNC, which partnered with Artemis to create the report, points out the Millennials have knowledge, tools, and other advantages over previous generations. I can only hope at some point this group will have enough confidence in the nation to buy houses, with or without, the white picket fences. The thought that vacation trips and even retirement is more important to twenty-somethings is a problem.
There was a time when you bought your house so you could have a retirement resource.
New Transportation Index
There have been several problems with this year's rally, including lack of volume (conviction) and poor participation by the transportation sector. Last week, the sector came on like gangbusters but continues to trail the broad market's performance. While traditional transportation numbers have lagged, the Baltic Dry Bulk shipping index has begun to rally hard and fast. A few years ago there was talk of dry bulk shippers being the new Transportation Index as a reflection of the global economy. That notion went bust as these businesses got locked into long term and highly unprofitable contracts to lease ships at rates that couldn't be passed along.
Still, I think there's a role for dry bulk somewhere, but it's not the new paradigm or proxy for the global economy. I'm going to see if there is a correlation and maybe we can glean a plus from the recent spike in the index.
It seems like a slot machine. If any of the above has a problem than so does our precious stock market rally. It's like pulling a lever on a slot machine and one of the windows has a lemon—makes for a very sour session.
(An important interview) Saving the Net from the surveillance state (And Crony Media): Glenn Greenwald speaks up (Q&A) | Nick Sorrentino