•  The technology-heavy Nasdaq index dropped more than 13% in April, its worst performance since the 2008 Great Financial Recession. The drop was driven in part by the FAANG stocks, which have collectively lost $1 trillion in market value this month alone. This also means that the index is down 21% in 2022, again a worst performance title, the timeframe being the first four months of any year on record. 
• Since 1992 there have been 25 times that the S&P500 dropped more than 10% in any four month period (as it has done this year). The index had an average return of 2.6% during the six months after these drops. Regardless, it appears as if one-third of a recession is already priced in, given that the S&P500 drops an average of 32% during a bear market.
• The housing market may prove to be a tricky issue for the Federal Reserve as it tries to control inflation. Since housing is responsible for 40% of the consumer price index (CPI), which is the most common metric of inflation, the Fed will need to tamper the housing market’s growth. The problem is that housing is also a fifth of GDP. If the Fed raises interest rates too quickly they may push the economy closer to a recession.
• The federal government holds roughly 92% of all student loan debt in the US. This means the government holds $1.6 trillion in student loans, which is equivalent to 6.5% of the country’s total GDP. This is relevant going into midterm election season since 85% of young American’s, regardless of political party, favor some sort of government action on student debt.