July 21, 2007

Amazing. Even the MSM is now calling this thing the "housing meltdown". Get ready for the store closings and other knock-on housing crash effects

It's playing out, just as predicted

So many knock-on effects from the "housing meltdown": Home Depot, GM, Lowes, Circuit City, Sears, Bed Bath & Beyond, Penny's, newspapers, restaurants, lenders, plastic surgeons, homebuilders, furniture retailers, google, dry cleaners, state budgets, auto dealers, ...

I bet we could name 100 industries and 10000 companies that are gonna get slaughtered as housing melts down, the housing ATM is towed away, and the crash plays out.

And we're just getting started. (Note, I shorted Home Depot on Friday even though it's manipulated)

Effects of Housing Meltdown Spread - Housing Meltdown Spreads As Companies in Myriad Industries See Lower Profits, Sales

NEW YORK (AP) -- It was supposed to be contained slump, but there's no avoiding it any more: The housing sector's woes are spreading, squeezing makers of everything from the fireplace to the kitchen sink.

The market's two-year meltdown has already claimed a number of obvious victims, from the homebuilders who overextended themselves trying to satisfy unsustainable demand, to aggressive lenders who scuttled vetting procedures to cash in on commissions -- but the recent round of earnings reports indicates the turmoil is more widespread than people first expected.

"We look at the overall (housing) market and say there's still correction that lies ahead of us," Home Depot Chief Executive Frank Blake told investors last week, as the company cut its earnings forecast for the year.

Publishers, who derive the lion's share of their revenue from advertising, joined in Thursday, saying housing's downturn led to lower real-estate advertising.

Media General Inc., publisher of the Richmond Times-Dispatch and The Tampa Tribune, said Florida's economic troubles -- due in large part to one of the most severe regional housing declines -- led to a 75 percent drop in quarterly earnings.

"Florida's economy has dramatically reversed, driven by an adjustment in the housing market following several record-breaking years," the company said in a statement.

10 comments:

Anonymous said...

"Florida's economy has dramatically reversed"

AAhhh....UNDERSTATEMENT OF THE YEAR!

You think? WTF! My POS has dropped 50%....someone kill me now.

Anonymous said...

I recommend shorting or put options on the Vegas Casino stocks, the bond insurers (MBI, ABK), Whirlpool, Black and Decker, Stanley, the Cruise Lines, Citigroup, auto parts makers (the autos and homebuilders I'd pass on...they're too obvious and they already been hit somewhat). mortgage title insurers, rails and trucking.

Anonymous said...

So, who's buying puts on Lehman?

Signed, WM is a $2 stock waiting to happen!

Columbo said...

Columbo here, checking in from Columbus, OH. Was at Home Depot this morning - FYI: parking lot packed.

Anonymous said...

the housing slump will cause more and more unemployment. and the wetbacks that came up here to do the work? what will they be doing? since they cannot get unemployment and welfare.......hmmm......

oh they will be coming to your house to take what you have....

go home you say? naw.......why should they? they think this land is their land from sea to shining sea....

you let them come here to build your houses and your highways and mow your yards.....now they will come for your stuff. we made this bed. now we must lie in it...

Anonymous said...

BEARX

Frank@NeverColdCall.com said...

Just look at Scottsdale, Arizona. The Great Indoors in north Scottsdale just closed. Nice restaurants are closing one after another, almost daily, in a frightening domino effect that is leaving nothing but lousy chain restaurants and unemployed people. Heck, even Krispy Kreme closed in Scottsdale! It's that bad!!

cobra2411 said...

Even that ass crammer was saying housing's in the dumps. He said it like he's been saying all along. It was only a couple months ago that he was screaming buy buy buy on Countrywide. Now he's saying you're dumb if you did because housing sucks and it's going to affect the banks...

He needs to be bitch slapped. Only problem is that I think he'd like it.

Anonymous said...

BOYCOTT Home Depot stores anyway!!

Arthur Blank, (founder) is the owner of the Falcon team, who so far is choosing NOT to dump Vick, the sadistic THUG loser, even as the dog carcasses and evidence mounts to the ceiling!!

BOYCOTT HOME DEPOT until Vick is thrown away like the garbage he is.

borkafatty said...

Columbo here, checking in from Columbus, OH. Was at Home Depot this morning - FYI: parking lot packed.

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Bfatz here checking in from Mass Land..was at home depot FYI: Parking lot full Credit Cards in full activation mode. S.S.D.D
Same, Shit, Different Day.