Later in the quarter, credit yields gave way to market pressures; however, despite the worst peak to trough market move in a decade, credit spreads remained within normal bounds and well below the scarier tumult of the winter of 2016.,For example, the low end of the housing market had been neglected by builders since the crisis; however, just this year, low-end jobs wage gains reached their highest level since the crisis.,Further, recent market activity has gone a long way towards correcting two of the big prongs impairing affordability: first, mortgage rates have come down considerably since peaking in early October, along with the 10-year yield; and, second, although housing markets correct more in terms of volume than price  the rise in price will be held in check by rising inventories, sluggish volumes and a down stock market.,Last year we said:

It is hard to sit in our seat today and say exactly which areas of the market would best withstand the next bear, for there are yet to be obvious areas of overinvestment like the technology sector in 2000 and the financials in 2007 that will lead the way down; however, we have confidence that the nature of the next recession (and let’s not forget, a recession is an inevitability eventually) will be different than the last.,To reiterate: “the 2007-09 bear market was an actual liquidity crisis where deflation was the risk that imperiled the economy, whereas the next recession will be a normal Fed induced recession when inflation gets too high and the Fed thus raises rates to cool things off. read more

— An officer responded to a two-vehicle crash on North Lincoln Avenue at East State Street at 1:51 p.m. Thursday in which a southbound vehicle struck the rear of another vehicle stopped at the traffic light.,— Police responded to a 2800 block East State Street business at 5:57 p.m. Thursday in reference to an irate customer and found a woman who admitted yelling at an employee regarding service to her mother.,— Officers responded to a 100 block North Ellsworth Avenue business at 6:04 p.m. Thursday in reference to a possible domestic dispute between a man and woman and found both individuals outside the business.,— Ruth A. Evans, 76, Salem, was cited for failure to control following a two-vehicle crash on South Broadway Avenue near East Wilson Street at 8:44 p.m. Thursday in which she was northbound and struck a legally parked vehicle.,— At approximately 8:22 a.m. Dec. 29, officers responded to the 200 block of Glenwood Avenue in East Palestine to assist the East Palestine Police Department with a domestic dispute complaint.

(Photo: Max Ortiz, The Detroit News)

The fallout from the Flint water crisis will continue in 2019, with two top state officials facing trial on charges related to the lead contamination of the city’s drinking water.,Buy PhotoDemocratic gubernatorial candidate Gretchen Whitmer  (Photo: Daniel Mears, The Detroit News) read more