Latest news with #economicinstability
Daily Mail
3 days ago
- Business
- Daily Mail
Fears of a US recession force ultra-wealthy to bail on rentals in popular summer hotspot
The rich aren't biting this year — sparking concerns about the state of the economy. The super-wealthy, who flock to the Hamptons every summer to live in the lap of luxury, aren't spending tens of thousands per month to do so anymore. A rental crisis has hit the Eastern end of Long Island, as mansion rentals are down 30 percent this year, according to CNBC. And the luxury rental market that is usually booked every summer doesn't show any signs of improving. New York City residents — who make up the majority of Hamptonites — will likely miss their infinity pools, tennis courts, and ocean views. For ultra high-end rentals, brokers say their business is down between 50 percent and 75 percent. While some people may simply be holding out for better deals, brokers say renters are concerned about economic instability. 'People are holding on to their money,' said Enzo Morabito, head of the Hamptons-based Enzo Morabito Team at Douglas Elliman. 'They don't like uncertainty.' For example, one palatial seven-bedroom estate in Bridgehampton, which normally rents for $350,000 from July 20 through Labor Day, is still sitting empty, CNBC reported. Another 11,000-square-foot mansion in Bridgehampton has slashed its summer price tag from $450,000 to $375,000 in a desperate bid to lure renters. Experts say some would-be renters are simply holding out for last-minute bargains or have been turned off by the late season frost in the area. But brokers warn there's deeper trouble. Economic jitters, a turbulent stock market, and Donald Trump's tariffs are forcing wallets shut. The crisis marks a sharp reversal from January and February, when rental inquiries were flying in. But by spring — and with the arrival of tariff chaos — it was nothing but crickets. Luxury broker Gary DePersia of My Hampton Homes says what he's seeing is unprecedented, and that usually, the best homes go early. The super-wealthy who flock to the Hamptons every summer to live in the lap of luxury aren't spending tens of thousands per month to do so anymore 'This year, I have great rentals available in every town, from Southampton to Montauk,' he says. Some nervous landlords have started slashing prices by up to 20 percent. They're also offering concessions like shorter stays instead of full-summer commitments. Morabito warns that homeowners who rely on summer rentals in order to pay a year's long mortgage may now be rethinking their investments. He represents several homeowners with large waterfront properties that typically would have been rented by March or April, but that are still available. Despite the bad news, some brokers remain optimistic. Judi Desiderio of William Raveis Real Estate believes the combination of 'dark noise' out there financially and geopolitically, along with bad weather, was not good. But she thinks that last minute takers will show up and predicts everything will be gone by July 1. The rich and famous, like Christie Brinkley (pictured above), flock to Hamptons hot spots like Surf Lodge starting on Memorial Day weekend Meanwhile, the sales market in the Hamptons is also down by 12 percent. But, sales are still happening, despite the median home price hitting $2 million, a new record. One broker is closing on a big deal. 'I just had two Canadians put in a bid on an $18 million house — sight unseen,' Morabito said. Still, the rentals sit. 'I think a number of people have deferred decisions, or they weren't sure what they were going to do, go to Europe or the West Coast,' DePersia said. Famous residents of the Hamptons are heading to far more exclusive locales this year, too. Many celebrities and the super rich are instead making their way overseas. Jeff Lichtenstein, broker and CEO at Echo Fine Properties in Jupiter, Florida, told the Daily Mail that 'the uber-wealthy are changing it up this year,' adding that he's hearing about more people buying vacation residences in Portugal and heading to Spain on glamorous trips. These moneyed folks are visiting 'anywhere from Lagos to Carvoeiro overlooking the cliffs on the Atlantic to ultra new golf course communities within minutes of the Faro airport,' Lichtenstein said.
The Guardian
4 days ago
- Business
- The Guardian
‘The ultimate liberty': how Nigel Farage became a cryptocurrency convert
As Liz Truss prepared to make a U-turn on her mini-budget in October 2022, Nigel Farage discussed the economic instability on his GB News show. But he was not broadcasting from the channel's studios in Paddington. Instead, Farage was speaking from a bitcoin conference in Amsterdam. 'With inflation forecast to perhaps get up to 20%, with increasing distrust of fiat currencies, people are looking for alternatives … Are you ready for bitcoin?' he said in his opening remarks. On Thursday, as an MP and not a broadcaster, Farage again spoke at a bitcoin conference, this time in Las Vegas. Though the venue had changed, the organisers were the same. In Vegas, Farage outlined Reform's policy on cryptocurrencies, presenting details of a bill to make London a global 'crypto powerhouse' that the party would bring in from government. And in a final flourish, he announced the party had become the first to accept donations in bitcoin and other cryptocurrencies from eligible UK donors. So how did a former trader who made his money in the altogether more tangible commodity of metals become a crypto convert? His journey appears to have started during the pandemic. Cryptocurrency was 'the subject everyone's talking about', Farage said in a video about bitcoin for Fortune and Freedom, an investment newsletter he launched in October 2020, published by Southbank Research. In April 2022, Farage appeared in a video titled 'New Money, New Rules' from Southbank Research, offering 'the truth about crypto', in which he said he had bought cryptocurrencies. He said: 'Five years ago, cryptocurrencies were pure speculation. Yet now, making crypto a part of your plans just makes sense, doesn't it? I have. A short while ago, I took a small amount of my money, I opened an account, I invested in cryptocurrency. It wasn't difficult, but I'm glad I did it and I'm not alone.' Connecting the messaging of libertarian Euroscepticism to his support for cryptocurrencies, he explained how in 2020 he had taken on 'a new mission outside of politics to help people take control of their finances' through a separate newsletter, UK Independent Wealth, and was selling first-year subscriptions for £79. In Amsterdam, as well as hosting his GB News show, Farage spoke on a panel at the conference. He called crypto an 'economic insurgency driven and led by people worried about the size and scale of big government'. He said bitcoin was 'the ultimate freedom, the ultimate liberty'. Farage has also cited his debanking by Coutts and NatWest in 2023 as a motivation for his adoption of the alternative currencies. Weeks before the general election last year, Farage said: 'The idea that you can be debanked, the idea that with increased regulation the banks can control how you spend your money, whether you even have access to your money, again, there's quite a feeling here amongst the whole crypto community that this is a form of individual sovereignty.' In June 2024, days after he announced he would stand in the election, a meme coin – a type of cryptocurrency that seeks to use viral success and is typically hugely volatile – called '$FARAGE' was launched. Within two weeks, a Cameo video of Farage came out in which he gave 'a big shout out to the crypto community that exists and is being ignored in this general election'. He continued: 'So many of you out there are interested in meme coins, so many other things – look, some of these coins do well, some don't. But here's the point. This is something that matters. Brexit means Brexit, but crypto means freedom from government control. Take it from somebody who was debanked. Crypto's got a huge future, and I will be talking more about the crypto community before the election on July 4.' In a second Cameo video, Farage said: 'I now learn there is a Farage coin which is gathering support from the Reform UK cryptocurrency community, something that Rishi [Sunak] and Keir [Starmer] just will not touch with a barge pole. They don't get it. But then again, they don't believe in freedom the way the crypto community does. So I hope that Farage coin goes to the moon. It's speculative, I'm not telling people to invest their life savings in it. But you never, ever know.' The coin has lost more than 90% of its value since then. There is no suggestion the currency is connected to Farage. But posts from an X account that claims to be linked to the $FARAGE coin promises that they 'will be the first ever token to donate to a UK political party', pledging donations to Reform once the overall value of the coin exceeds certain thresholds. Not all of Farage's Cameo videos are as coherent on cryptocurrencies. One video from June 2021 is laden with references to two competing meme coins, as Farage implored from a script: 'Gabe Gabe Gabe, ape for Gabe.' He added: 'Good luck with it all.'
Wall Street Journal
21-05-2025
- Business
- Wall Street Journal
Jewelry Designers and Collectors on Rising Gold Prices: ‘Chaos, Pure Chaos'
When Danielle Sherman launched her fine jewelry line, Sherman Field, in 2019, gold cost around $1,508 per troy ounce. This month, the metal hit a record high, closing at $3,411.40, and Sherman's prices rose accordingly. That hasn't hurt business, she said. Her brand's sales have almost doubled from this time last year. Gold prices have been both volatile and rising. Investors are scooping up bars and chains, hoping to secure a future profit. Even for collectors who are driven by a love of jewelry, the high price of gold is a potential benefit. The last time prices rose so steeply was in April 2020, during the Covid market meltdown. 'Whenever there's economic or political instability throughout the world, we notice a jump,' said Sherman.
Skift
19-05-2025
- Business
- Skift
Rising Costs, Supply Strains, Weakening Demand: Airlines Face New Challenges
At the end of 2024, we released our forecasts for the year ahead and the key themes we thought would drive change in the travel industry in our Global Travel Outlook 2025. Nearly five months into 2025, we revisit those trends in Skift Research's latest report, Turbulence and Tailwinds: Shifting Trends in the Airline Industry, given the current economic instability and global uncertainties, including tariffs imposed by the U.S. government. Key Themes for 2025Updated CommentarySupply chains remain a major concern for the industryWill likely worsen as the global airline industry navigates the economics of tariffsRecord passenger revenues for the industry, along with record profitabilityRevenue growth will be lower than projected but profitability will stickPremium demand to stay strongPremium has shown remarkable resilience and it will likely stay strongMore airline consolidationEconomic uncertainties and weak financial he
Yahoo
18-05-2025
- Business
- Yahoo
Gold Hits $3,500 As Larry Summers Says U.S. Market Is 'On A Path' To Crisis Like UK's 2022 Meltdown
The U.S. is at risk of a financial crisis similar to the 2022 U.K. meltdown, former Treasury Secretary Larry Summers warned. 'I would have said a 'Liz Truss moment' was very unlikely in the U.S. if you had asked me three months ago," Summers said in an April 22 interview with BBC Radio, according to Business Insider. 'Now I think we're on a path towards having an episode like that. I think it will be very costly for our economy — and for the global economy.' Summers' comparison pointed to Truss's brief term as British prime minister, when her unfunded tax cut proposals triggered market chaos, a bond yield spike, and ultimately her resignation just 44 days into her tenure—the shortest in British history. Don't Miss: 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. Invest where it hurts — and help millions heal:. According to Reuters, gold touched $3,500.05 per ounce on April 22, rising 31% since January. Investors turned heavily toward safe-haven assets amid fears of spiraling economic instability. Summers told the BBC that the U.S. financial system is exhibiting signs similar to emerging market economies under duress. 'Stocks go down, bonds go down, the currency goes down, gold starts to be hoarded, that's the pattern we're seeing in the U.S.,' he said. Summers warned that the endpoint remains uncertain but urged caution given the current trajectory. Economic conditions have remained volatile. In April, the dollar index weakened, boosting gold's appeal, although it later rebounded slightly amid signs of easing U.S.-China trade tensions. Trending: Hasbro, MGM, and Skechers trust this AI marketing firm — Adding to the market unease, President Donald Trump announced a sweeping 145% tariff on Chinese goods earlier in April. The decision sparked a sharp sell-off across Wall Street, deepening fears of a prolonged trade war. Following the announcement, Summers posted on X, stating, 'Never before has an hour of Presidential rhetoric cost so many people so much,' estimating the loss from the new tariff policy could reach $30 trillion, roughly $300,000 per American family. Trump's actions toward the Federal Reserve also contributed to market anxiety. In an April 21 Truth Social post, he sharply criticized Fed Chair Jerome Powell, calling him a 'major loser' and 'Mr. Too Late' for not cutting interest rates sooner. While tensions between the White House and the Fed intensified, Trump clarified during a May 4 interview on NBC that he had no plans to remove Powell before his term ends in 2026. "Why would I do that?" he said. "I get to replace the person in another period of time." Read Next:Nancy Pelosi Invested $5 Million In An AI Company Last Year — Image: Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? APPLE (AAPL): Free Stock Analysis Report TESLA (TSLA): Free Stock Analysis Report This article Gold Hits $3,500 As Larry Summers Says U.S. Market Is 'On A Path' To Crisis Like UK's 2022 Meltdown originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
