Picture first:

From the Cash-Shiller/S&P/ CoreLogic (and whoever else is in on it) report:

MONTH-OVER-MONTH
Before seasonal adjustment, the National Index posted a month-over-month increase of 0.1% in September. The 10-City Composite did not post any gains and the 20-City Composite posted a 0.1% increase for the month. After seasonal adjustment, the National Index recorded a 0.4% month-over month increase in September. The 10-City Composite posted a 0.2% increase and the 20-City Composite posted a 0.4% increase. In September, 12 of 20 cities reported increases before seasonal adjustment while 17 of 20 cities reported increases after seasonal adjustment.
ANALYSIS
“September’s report for the U.S. housing market is reassuring,” says Craig J. Lazzara, Managing Director and Global Head of Index Investment Strategy at S&P Dow Jones Indices. “The national composite index rose 3.2% relative to year-ago levels, with smaller increases in our 10- and 20-city composites. Of the 20 cities in the composite, only one (San Francisco) saw a year-over-year price decline in September.
“After a long period of decelerating price increases, it’s notable that in September both the national and 20-city composite indices rose at a higher rate than in August, while the 10-city index’s September rise matched its August performance. It is, of course, too soon to say whether this month marks an end to the deceleration or is merely a pause in the longer-term trend.
“At a regional level, Phoenix retains the top spot for the fourth consecutive month with September’s 6.0% year-over-year gain. The Southeast region was also strong, as Charlotte, Tampa, and Atlanta all rose at greater than a 4.0% clip.

My consigliere notes what seems to be happening is prices are about caught up to the equilibrium point betrween what people can afford.  Where things will get interesting is when rates have to go up at some point and then housing prices will begin to cycle down.

But not today, Josephine.

Airspace

Panic as a plane got into the area near the White House and jets were scrambled.

Someone – we betcha – didn’t remember to go through their SIFRA checklist – that’s the Special Flight Rules Area which is about a 30-miles diameter around the WH.  Yes, I am SIFRA qual’ed…not that it does much good without an airplane…but T’ain’t likely a big deal…

When is The Top In?
A Global Tax-Grab Appears; Trade and Housing .DTA