Nah, home prices never go down.
Post random thoughts, articles that I missed (use tinyurl.com and hit the highlights only), and tell us what's on your mind
January 19, 2007
BUBBLETALK - open thread to talk about the housing crash and mortgage meltdown
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313 comments:
«Oldest ‹Older 201 – 313 of 313A small step ....
On your tax return there is a
checkbox to decide to send one
dollar to the campaign finance
fund.
The dollar comes from the treasury,
not your account. But if millions
more taxpayers check "yes", the
influence of pac and corporate
money is reduced.
I don't claim the candidates often
reward contributors with changes
in policy (though that happens),
but the money tends to go to those
with policies that favor the
wealthier contributors.
We end up with government by
contibutors, since money wins
elections.
Keith,
I thought you would like this link. It is an analyst saying HSBC is in for a fall.
http://seekingalpha.com/article/59852-the-short-case-on-hsbc-holdings?source=yahoo
Note, I'm short via Mar 08 puts si nce I read the "Hide the Salami" post a month or 2 ago.
Cheers.
I think that everything is is a bubble. People have been brainwashed to think that things are free and the Chinese will do everything for us. The problem is,the Chinese are smarter than us and are planning to use our greed and laziness against us,and especially our focus on the now and here,whereas they are more future-planning. All they need to do is let their currency float and then they can come here and buy us out. A good solution for populating a billion plus people.My humble opinion.
Does health insurance count as Inflation.
http://www.indybay.org/newsitems/
2008/01/12/18471871.php
Virtually everybody agrees that the American health care system is broken: costs are rising well in excess of the rate of inflation
princess mononoke,
"""
I never knew there was such a thing as Hispanics who are white? According to the f*cked up U.S. Census, White does NOT include Hispanics. In fact, every category specifically says in parentheses (not Hispanic).
"""
Really?!?
The whole idea is that hispanic isn't a race according to the census, so there are white hispanics, black hispanics, etc.
In fact 48% of people reporting Hispanic in the 2000 census reported their race as white. So I'm not sure where you came up with the hispanics must be non-white. Yes that's a category that is often used but that's a calculation from the race and hispanic classifications.
There's "white" as the first option in question 6:
http://www.census.gov/dmd/www/pdf/d20bp0.pdf (file name is d20bp0.pdf if you have url truncation issues...)
No "(non Hispanic)" to be seen. So what census did you fill out?
Something went un-noticed. The Fed sets rates by buying and selling bonds to "Primary Dealers". The list of primary dealers can be found at the NY Fed Reserve's website:
http://www.newyorkfed.org/markets/pridealers_current.html
You'll note of the 20 current "Primary Dealers", only one (Mizuho) stands out as an Asian-Headquartered firm. But, that's not the interesting part. The interesting part is this statement on that website:
"Effective November 30, 2007, Nomura Securities International, Inc. has withdrawn its name from the list of primary dealers."
So, there used to be two Japanese firms who bought and sold US Bonds/Treasuries through the process by which the US Fed Reserve sets the "Fed Funds Rate". But, Nomura backed out in late November. Then it gets real interesting because of this WSJ article from the WSJ (one month prior to Nomura withdrawing status as a "Primary Dealer":
Nomura Holdings Inc. posted its first quarterly loss in more than four years as a 67.7 billion yen ($592.7 million) write-off related to its U.S. subprime-mortgage business amplified the impact of slowdowns in almost every arm of its operations.
The loss for the July-September quarter, which Nomura telegraphed last week, comes after a string of strong earnings that showed it was starting to wean itself from over-reliance on its core domestic brokerage business.
Here is some pretty interesting information I stumbled on this weekend! It may help you make sense of all this crap we're going through...
http://tinyurl.com/2kqhq8
http://tinyurl.com/2kbvbo
But look at the brighter side.
…
The Chinese built and tested a US
miniaturized W3 mirv warhead.
(Mao would be so proud.)
And they are now entering the US
automobile market as the third highest producer of said product.
…
AQ Khan sold nuke plans on the
black market for most of a decade;
maybe still does. (No slouch he.)
…
…
On second thought, maybe I can get
a cheap cyanide capsule on eBay.
Saudi Arabia should revalue its currency because imported inflation owing to riyal's peg to the weakening dollar is hurting the Saudi middle-class, an economist said.
Saeed Al Shaikh, chief economist at National Commercial Bank, said a currency revaluation should be on top of the agenda to contain inflation in the country.
He said "the time has come for us to reconsider the continued pegging" of the Saudi riyal with the US dollar and called for a gradual ending of the peg.
"The impact of inflation has expanded to include the middle class," he said in a statement, adding that the problem is no longer limited to people in the lower income category.
Along with a revision of the riyal-dollar exchange rate, Al Shaikh suggested adjustment in wages and government subsidies on basic commodities to limit the impact of the rising cost of living in the country.
http://www.zawya.com/
Story.cfm/sidGN_12012008_10181333
Most mid-class American are not feeling the impact of inflation yet, but inflationary expectation is growing due to the weak US Dollar.
Thailand's central bank may keep its benchmark interest rate unchanged as inflation accelerates
Australia's Prime Minister Kevin Rudd and Treasurer Wayne Swan held talks with the central bank to address the nation's ``inflation challenge'' ahead of the bank's interest-rate review next month.
Oman's ruler urged the government to draft proposals to curb price rises with inflation in the Gulf state, which pegs its rial to the dollar, running near a 16-year high, the state news agency said.
Brazilian economists raised their yearend estimates for the central bank's benchmark interest rate on expectations inflation in Latin America's biggest economy will accelerate.
Sweden's inflation rate increased
China said on Monday it would take legal, economic and the necessary administrative measures to stabilize prices, a move that underscores its growing inflation concern.
Annual UK factory gate inflation rose to a fresh 16-year high in December as food price inflation hit a record high and oil prices continued to climb.
Inflation in Bulgaria, which joined the EU last year, picked up to 8.4 pct in 2007, the highest annual average in seven years
confucious 9:53 PM said:
"The problem is,the Chinese are smarter than us and are planning to use our greed and laziness against us,and especially our focus on the now and here,whereas they are more future-planning."
----------------------------
Funny how these smart Chinese planners are making their environment unlivable.
They may be able to get by for a long time without cleaning up their air polution, but they are clearly headed for a crash in their supply of drinkable water.
-Mammoth
Dont know if this has been posted yet, here's an update on
Casey Serin-
Hey,
I will be on the Dr. Phil show this Wednesday!
7PM Chanel 31 in Sacramento. Use this link to look up your state for local stations and times:
http://drphil.com/shows/listing/
I will try to get a recording of it and post it here: http://serin.us
My Current Status:
The show was taped a few months ago. I'm still trying to save my marriage. Following Dr. Phil's advice by staying off-line and working a steady job. Unfortunately there hasn't been much progress. Still hoping though. Prayers appreciated!!
And I still have 250 to 500K of defaulted debt and foreclosure deficiencies to deal with (plus other more serious legal issues). And I don't think bankruptcy will be a good move for me.
I'd love to pay it all off instead. That would be a sweet comeback story. We'll see...
By the way, do you know anybody who is facing foreclosure?
I can help by sharing my experience of going through 6 foreclosures, dealing with short sales, 1099s, deficiency judgments, etc. I was blessed with some great lessons.
--
Casey Serin
Cramer calls a bear market.
http://tinyurl.com/2uz2on
When I watched the clip, it was followed by an ad for a CHASE credit card - a guy uses it to buy a gigantic flat screen TV.
Then Cramer talks about "how to prepare when the consumer makes a comeback". To be fair, he does say that the numbers will be very bad for six months.
Cramer is usually wrong.
Its a mixed bag. Inflation will hit the commod's that you need for every day existance. Deflation will affect the shit you don't need to survive, ie electronics, new car, etc.
Headlines taken from Yahoo Finance on 01/15/2008. They ran one right after the other.
Stocks Fall on Growing Economic Worries- AP
Apple Sells 4 Million iPhones in 6 Months- Reuters
Who says there's a recession? The IPhone is selling like hotcakes.
Dow down -278 points
I refuse to vote for any of the candidates you listed. No really, you can't make me.
Its a mixed bag. Inflation will hit the commod's that you need for every day existance. Deflation will affect the shit you don't need to survive, ie electronics, new car, etc.
Only a dumb-ass retarded shit-hole renter could make a comment like that. We know that renters and under the bridge dwellers seldom need cars. We also know that they don’t need a computer and that they use the newspapers to wipe their ass. Living in a rental trailer? Renting a 1BR rat infested bung hole? Collecting aluminum cans? One way or another how dare you imbecile, moron trailer trash scum speculate on the economy? You rent because you don’t have money to buy you jealous, asinine POS.
Blowfly said...
Its a mixed bag. Inflation will hit the commod's that you need for every day existance. Deflation will affect the shit you don't need to survive, ie electronics, new car, etc.
Only a dumb-ass retarded shit-hole renter could make a comment like that. We know that renters and under the bridge dwellers seldom need cars. We also know that they don’t need a computer and that they use the newspapers to wipe their ass. Living in a rental trailer? Renting a 1BR rat infested bung hole? Collecting aluminum cans? One way or another how dare you imbecile, moron trailer trash scum speculate on the economy? You rent because you don’t have money to buy you jealous, asinine POS.
Speculate!!! HAHAHAHAHAHAHA - your just angry because your losing your ASSSSSSSSSS in the stock fantasy land. ... and yes douche bag when money and credit shrink commods that are required for living go up, while useless shit that people "want" but can't afford go down - ever hear of supply and demand fuck stick?
Whats that Blowfly? Can't hear you - Oh, I think you need to pull your head out of your ASSSSSSSS...
Anonymous said...
>>>No "(non Hispanic)" to be seen. So what census did you fill out?
January 15, 2008 2:40 AM
================
Anon, I will not continue this petty little argument with you!
Don't you know/realize there are far greater issues that we need to focus on right now??? That WE need to be AWARE of right now!
The Governments of the World, The Banksters of the World, The Elitist of the World ARE waging WAR against us!
Their motto is DIVIDE and conquer!
I saw this tonight. It is crazy.
You have to read this. 401K debit card?
http://biz.yahoo.com/ts/080114/10398317.html?.v=2&.pf=retirement
Keith, because of you and the media, the housing market is tanking. If people were more optimistic, then the real estate market wouldn't be doing so bad. I wonder how you sleep at night.
edd said...
On second thought, maybe I can get a cheap cyanide capsule on eBay.
If that fails, you can always buy uranium from Amazon.
--> http://tinyurl.com/28bsa8
Toodles IndyMac...
http://tinyurl.com/2oalqg
"Perry noted the company has "a significant capital cushion and strong liquidity" but needs to keep costs down because it has been unable to sell its prime jumbo home loans on the secondary market and must keep them on its balance sheet"
So long, farewell, Au'voir, auf wiedersehen, I'd like to stay and taste my first champagne
So long, farewell, Auf wiedersehen, goodbye, I leave and heave a sigh and say goodbye,
Good bye
http://kids.niehs.nih.gov/lyrics/solong.htm
I just listened to a radio commercial from my local station today.
Developers daughter (a realtor)is offering a service to help people facing foreclosure.
What do you make of it???
Buy back from the past clients, hold, and sell again?
A long term investment for all those profits during the boom?
They really want to help these poor people?
I feel a new realtor scam is now upon us.
Keith, Asian and European markets are getting absolutely whacked. It is getting ugly and tommorow might be horrendous for the stock market.
Maybe Chase might have some fake numbers that might save the day.
Keith, because of you and the media, the housing market is tanking. If people were more optimistic, then the real estate market wouldn't be doing so bad. I wonder how you sleep at night.
Another wonderful comment originating in the hollow cavity where a brain is supposed to be. How can you blame a dumb-ass renter such as Keith for a tanking housing market. Granted there is no light on upstairs and some of the posts he writes are funny, others are downright asinine and retarded. I’m sure he sleeps well at night just as your imbecile self. Until you understand that the only housing market that’s tanking is the low income and middle class crapo stucko boxes you haven’t learned anything. The ultra luxury market is doing more than well. But of course you’re some idiotic, blank-stare code monkey working on an IT salary. You better bend over because the big one is coming right from behind. Now go back into your rental shit shack and commit an act that will earn you a Darwin Award.
anyone know what was with the Dow between 10:50 and 11:05 EST- perfectly f'in flat.
Multiple choice question. Now forever out of work, divorced, broke and underwater, soon to be ejected from his foreclosed residence, what does blowfly still have?
a. Blade
b. Rope
c. Kerosene, matches
d. Toaster, power outlet, bathtub
e. Shotgun
f. Garage, car engine on
Multiple choice question. Now forever out of work, divorced, broke and underwater, soon to be ejected from his foreclosed residence, what does blowfly still have?
a. Blade
b. Rope
c. Kerosene, matches
d. Toaster, power outlet, bathtub
e. Shotgun
f. Garage, car engine on
a. - nope, pussies don't own blades
b. - nope, a pussy would never hang themselves
c. - nope, pussies would never cook themselves
d. - yes, only a pussy would own these things
e. - nope, pussies don't own guns
f. - nope, pussies are too pussified to gas themselves.
Consumer is tightening up...
Tighter Belts Slow US Economy's Momentum
WASHINGTON (AP) -- The economy lost momentum heading into the new year as shoppers tightened their belts and manufacturers were stung by weak demand for cars and housing-related goods
nope, pussies are too pussified to gas themselves.
Let Blowfly show you what your pussy's made for. I recorded this song over 20 years ago.
So you think you're good
you think you're it
but without my d*ck baby you ain't shit!
Cause your ass can't take what your ears receive
when I come on your mind and make you weak in the knees.
Play with your pussy till your ass turns red,
make you jerk of you daddy give your mammy some head!
Now go and play with yourself you pathetic dumb-shit renting cockroach!
Heh. Someone at Marketwatch thinks it would be a great idea if Bush came out of hiding to help the GOP. I thought I was reading The Onion but apparently this dope was dead serious.
Scary.
http://tinyurl.com/2mw44j
I am so sick of the MSM calling this BS the 'housing slump."
We are in housing depression. When will they quit misleading the public.
Who calls the shots with the MSM?
"Signs of Recovery in Collier County Florida"
Hey everyone. Good News. The housing market is rebounding. Just read our local news about this amazing recovery.
http://tinyurl.com/25bujg
Americans Pay for Housing Boom's Excess
U.S. Banks Seeing Higher Delinquencies on More Than Just Mortgage Payments
NEW YORK (AP) -- The bill for America's excessive borrowing during the housing boom has arrived, and more people are having trouble paying it.
JPMorgan Chase & Co. and Wells Fargo & Co., two of the nation's biggest banks, on Wednesday joined a growing chorus warning that the subprime mortgage mess is just the start of a sweeping lending crisis. And some fear that consumers falling behind on all kinds of loan payments could tip the economy's scale toward recession.
Strapped consumers are having a tough time making payments on credit cards, home-equity loans, and even for their cars. This has caused three of the top five U.S. commercial banks that have already reported damaging fourth-quarter results to set aside some $12.5 billion to cover future loan losses -- and that number will likely grow as the year wears on.
SAN FRANCISCO (MarketWatch) -- The former chief executive of Brocade Communications Corp. was sentenced Wednesday to 21 months in prison for his role in an stock-options backdating scheme at the technology firm. Reyes also ordered to pay $15 million fine in options-backdating scam.
The SEC has filed complaints against executives from other major tech companies, including Apple Inc.,Juniper Networks and Broadcom Corp.
http://tinyurl.com/29rsmr
Finally, it APPEARS that the worthless SEC is doing their JOB! But what of MOZILLO and the other CROOKS????
I saw the most interesting commercial last night here in Los Angeles. I was flipping the channels and saw a commercial in Spanish offering to buy gold.can you f@king believe that!
I have never seen that here in my life.pawn shops always buy gold but now they are displaying huge banners outside their places of business.but tv commercials for gold only?
we are really screwed now.
Get back there and get me a whopper!
Keith, for your worst Presidents ever, you left off a few prime candidates, like F. Roosevelt, W. Wilson, and Lincoln.
Wilson would get my vote. Let's see, Federal Reserve, Income Tax, and the U.S. entry into WWI (-> Weimar Republic, Bolshevik Revolution --> Nazi Germany --> WWII --> Cold war).
We're still dealing with the bag of shit that asshole handed us.
Have you all seen the Tom Cruise scientology video?
http://tinyurl.com/yre7c6
Keith:
You must read this!
Cruel Jokes but No one is Laughing
Article about "JINGLE MAIL"--housing defaulters sending keys back in the mail
http://tinyurl.com/289www
Americans pay for housing boom's excess - Yahoo! News
http://news.yahoo.com/s/ap/20080116/ap_on_bi_ge/bank_earns
16 days into the year and California already has 34,027 foreclosures.
http://www.foreclosure.com/
state/ca.html
Lou Dobbs audio on gold, stock market crashes, and real estate:
http://tinyurl.com/24rzn9
If mortgage application volume is a leading indicator then Federal Reserve should stay on hold or raise interest rate.
January 11, 2008 Mortgage Application volume
Seasonally Adjusted:
Market Index 906.4
Refinance Index 3575.5
Conventional Index 1305.5
Purchase Index 461.2
Gov Index 241.2
The last time Refinanc Index (3567.6) was at this level was March 5, 2004 during the housing boom.
Inflation vs. Deflation
We typically refer to rising consumer prices as inflation, and falling consumer prices as deflation. In reality, inflation is an increase in the money supply via the extension of credit. The consequences of inflating the money supply are higher consumer prices and asset values (stocks, real estate, etc). Conversely, deflation is a contraction in the money supply which occurs when individuals and businesses no longer take on more debt. The consequences of a deflating money supply are falling asset and consumer prices. In simplified terms, when individuals and businesses take on more debt we have inflation. When individuals and businesses stop taking on more debt, we have deflation.
We are currently in an inflationary environment where consumer prices are rising and most asset prices are rising.
http://seekingalpha.com/article/
60261-all-signs-point-to-more-
inflation?source=side_bar_editors
_picks
You have to wonder why HISTORY keeps repeating itself ?!?! People in positions of power will always use our weaknesses and our fears to manipulate, control and destroy the fabric of our being!
We keep looking to authority figures for answers, still unaware that the answers we seek, the TRUTH, lay dormant within ourselves.
http://tinyurl.com/26cmkl
Anonymous said...
>>>Keith, because of you and the media, the housing market is tanking. If people were more optimistic, then the real estate market wouldn't be doing so bad. I wonder how you sleep at night.
January 16, 2008 1:02 AM
================
Are you f&*king kidding me! Why the hell are you NOT holding the lenders, banks, regulators and government accountable???? You mean to tell me that GREED, CORRUPTION and FRAUD had absolutely NOTHING to do with this disaster???!!!!
Just because HPer's are exposing the TRUTH and talking about it, does NOT in any way make Keith and HPer's responsible for this debacle! Get a f*&ken clue would ya!
http://appraisalnewsonline.typepad.com/appraisal_news_for_real_e/2008/01/jennifer-wertz.html
Sen. Clinton tans Mozilo’s hide.
http://tinyurl.com/ys4zyv
Gotta love that headline.
Are you f&*king kidding me! Why the hell are you NOT holding the lenders, banks, regulators and government accountable???? You mean to tell me that GREED, CORRUPTION and FRAUD had absolutely NOTHING to do with this disaster???!!!!
Listen you shit for brains trailer-trash douche bag, you just don’t get it. There is no slump or panic in the real estate market. There is desperation and panic in the suburban shit-hole stucko-box owned by f*cking middle class too dumb to read imbeciles. But why are you getting so worked up? I thought that you are more than comfy and happy in your rat and roach infested rental trailer?
Anonymous said...
>>>Keith, because of you and the media, the housing market is tanking. If people were more optimistic, then the real estate market wouldn't be doing so bad. I wonder how you sleep at night.
January 16, 2008 1:02 AM
**********
Here's some optimism for you:
After all of the entitlement generation knuckleheads deplete their 401ks; get their jetskis, plasma screens, and SUVs repossessed; and declare bankruptcy: housing should be affordable enough so that a family with a decent income can afford to live in a decent neighborhood with decent schools and enjoy a decent quality of life.
A new golden age of post-consumerist society will dawn: kids will learn the value of hard work, pursue relationships that add value to their lives, recognize their responsibility to conserve resources whenever possible, and community service will get as much press as celebrity DUIs do today.
I for one, can't sleep--because I too excited for the day when this insanity ends and we have a real country again!
girl guide said:
""Signs of Recovery in Collier County Florida"
Hey everyone. Good News. The housing market is rebounding. Just read our local news about this amazing recovery.
http://tinyurl.com/25bujg"
Yep....the Naples Area Board of Realtors whose motto is "Real Life. Real Answers" was promoting the fact that homes in the $0-300,000 range increased 33%. The morons at NBC 2 ran a story titled "Signs of Recovery" saying "Despite slow sales in recent months, the newest numbers are showing the housing industry may recover faster than anticipated."
Checking the fine print from the data provided by these "Real Life Real Answers" folks....overall sales down 14%. Sales in the $300-500,000 range down 38%. Combining the less than $300,000 range and the 300-500,000 range sales were down over 11%....how can this be?
Uhmmm....the prices went down.
Sales that were previously transacted in the $300-500,000 price range fell into the lower range. Bottom line....prices are down, sales are down and days on the market are increasing. One heck of a sign of recovery.
An Article from Bloomberg on Fraud. I think the RICO statutes can apply to all levels agent, appraiser, broker, bank, wall street.
http://tinyurl.com/2f4wka
It's really nothing more than organized crime- kind of like insurance fraud.
Keith,
suggestion for Stupid Q of the Day...
What would YOU do with the "temporary quick fix" checks handed out by Ben and Co?
Will people hoard the money or blow it at Toys R Us, Circuit City, etc...effectively "boosting" the economy?.....
To Blowfly,
Hey, I don't rent, my trailer is BOUGHT AND PAID FOR!
(ha ha ha)
area 51 said...
Keith,
suggestion for Stupid Q of the Day...
What would YOU do with the "temporary quick fix" checks handed out by Ben and Co?
Will people hoard the money or blow it at Toys R Us, Circuit City, etc...effectively "boosting" the economy?.....
January 17, 2008 7:58 PM
Bernanke was asked this exact question. He said the stimulus money needs to be spent on "domestically produced products" in order for it to be effective. (Not credit card debt he said).
He didn't get specific about where we would find these products.
I sure want to do my part to stimulate the economy and be patriotic.
Anybody know where we could find these products????
blowfly said...
>>>There is desperation and panic in the suburban shit-hole stucko-box owned by f*cking middle class too dumb to read imbeciles.
===============
blowfly, there is desparation and panic NOT because we're talking about it... It's because almost NO body can get qualified to refinance the $HIT loans they were put in.
So, in essense each homeowner is STUCK with their current $hit loan and interest rate and payment is skyrocketing!!!
By no means is this pretty and I'm NOT cheering. But it IS the current reality at every level of society! Just wait blowfly!
Anon 8:38:
You're right!
Even our coke is imported, and our hookers are from the third world.
But we do manufacture lots of pharmaceuticals.....
So everybody do their patriotic duty and buy lots of drugs, PROVIDED they're genuine, good ol' USA drugs......
A new golden age of post-consumerist society will dawn: kids will learn the value of hard work, pursue relationships that add value to their lives, recognize their responsibility to conserve resources whenever possible, and community service will get as much press as celebrity DUIs do today.
Ahh the dreams! Now, back to reality.
Jonny Angel,
false claims of recovery are normal during declines. I heard during the last California RE slump in the 90's such claims were published regularly, every year, until the very bottom.
GOLD TO DA MOON ALICE!!!!!!!!
blowfly = dopes
I'd like to meet blowfly in a dark alley and make him cry.
Two websites on the Alberta, Canada real estate bubble are here:
Alberta Bubble
Calgary Real Estate Market Blog
What does this mean for LIBOR rates.
http://news.independent.co.uk/
business/news/article3348025.ece
Bank warns inflation spike could jeopardise interest rate cuts
Inflation is set to rise sharply, potentially jeopardising the chances of interest rate cuts, the deputy governor of the Bank of England warned yesterday.
Inflation hurting working American.
http://www.ajc.com/services/
content/business/stories/
2008/01/17/
INFLATION_0117.html?cxtype
=rss&cxsvc=7&cxcat=6
It's not just rising food prices that are pinching the budget of working Americans.
The price of health insurance, another major political campaign theme, rose by 10.1 percent last year. Medical inflation also continued to outpace the broader consumer inflation rate. The price of medical care nationally rose by 5.8 percent in 2007 and the price of medical care services rose by 5.3 percent.
But consumers perhaps most felt the energy-price squeeze. Gasoline prices rose 8.2 percent on average last year, the slowest rate of growth since 2002. But pump prices began climbing anew in October and for the last quarter of 2007 average prices rose by just more than 30 percent.
Similarly, the price of fuel oil used for winter home heating rose 7.4 percent for all of 2007, but in the last three months of the year rose by more than 27 percent.
New data from the Labor Department confirm what most middle-class Americans already know: Inflation is squeezing them.
As consumer prices rose by 4.1 percent last year, the highest rate since 1990, the prices of basic essentials such as food, gasoline and health insurance climbed far more steeply, explaining why so many Americans are telling pollsters that the economy is their chief concern.
Is Inflation expectation growing.
Should salary go up to counter the effect of higher inflation.
http://www.sun-sentinel.com/
business/sfl-flhlpcpi0117
pnjan17,0,6938928.story?track=rss
"Some people tend to forget that gasoline has an effect on everything else," said Bureau of Labor Statistics economist Karen Ransom.
And on consumers' well-being, said Lynn Benson, of Hollywood. "You still have to buy food. You still have to buy gas," she said, as she dropped into the Palmetto Park Square shopping mall in Boca Raton. "There are certain things you can't avoid. So there's less in the bank at the end of the day."
The Bureau of Labor Statistics Wednesday said the Consumer Price Index, or CPI, for the nation rose at a 4.1 percent annual rate in 2007, up sharply from a 2.5 percent gain in 2006 and the worst rate of inflation since 1990.
Federal Reserve Bank of Dallas President Richard Fisher said on Thursday that recent inflation data was "not encouraging" and the central bank must be aware of keeping inflation expectations intact.
"We have responsibility, and one is to not plant seeds of inflation," he told reporters, even as he endorsed further monetary easing to support the economy.
Fisher is a voting member on the Fed's rate-setting committee this year. The Federal Open Market Committee will hold its next meeting on January 29-30, at which it is widely expected to cut the benchmark federal funds rate by half a percentage point.
http://www.reuters.com/article/
pressReleasesMolt/
idUSNAT00362420080117
Should min wage go up again
http://www.kansascity.com/
business/story/448050.html
Inflation negates 2007 wage increases
Inflation last year wiped out real average weekly earnings gains for urban wage earners.
From December 2006 to December 2007, average weekly earnings rose by 3.4 percent, seasonally adjusted, the U.S. Bureau of Labor Statistics reported Wednesday.
Those average earnings gains, though, were reduced to a loss of 0.9 percent when the rise in the consumer price index was factored in, according to the bureau’s preliminary data.
Inflation in Australia likely rose at its fastest pace in 16 years last quarter, underlining the domestic case for an interest rate rise even as turmoil in global markets argues against a near-term tightening.
As a result he expected the central bank to raise its cash rate to a fresh 11-year peak of 7.0 per cent when its policy board next meets on Feb. 5.
http://www.businessspectator.com.
au/bs.nsf/Article/Inflation-to-
hit-16-year-high-test-
RBA-AY8B9?OpenDocument
New Zealand's inflation rate accelerated more than expected in the fourth quarter, exceeding the top of the central bank's target band and adding to speculation Governor Alan Bollard may delay an interest-rate cut.
http://www.bloomberg.com/apps/
news?pid=20601081&sid=
aesggBWCGxHM&refer=australia
South Korea's inflation rose 3.6 percent on-year last month, breaching the central bank's target range of 2.5-3.5 percent, largely due to soaring crude oil prices.
South Korea's central bank last week left its key interest rate unchanged at 5 percent for January.
http://news.xinhuanet.com/english/
2008-01/17/content_7440410.htm
Singapore's consumer price index (CPI) is expected to show a further rise in December after surging to a 25-year high in November, as prices of food and transport continued to climb.
Economists polled by Thomson Financial expect that CPI for December will be up between 2.5 and 4.5 percent, after rising 4.2 percent in November.
'We expect inflation to continue rising, possibly breaching the 6 percent mark in January,' said Citigroup (NYSE:C) economist Leon Hiew.
http://money.cnn.com/news/
newsfeeds/articles/newstex/
AFX-0013-22317643.htm
HAVING a little bit of inflation is like being a little bit pregnant. Is that old adage worth bearing in mind as consumer prices across the globe accelerate?
Even as America flirts with recession, figures released on January 16th showed that consumer prices were 4.1% higher in December than a year earlier, up from 2.5% in 2006.
China's inflation rate, at 6.9%, is the highest in 11 years.
In the euro area, inflation is running at 3.1%, the fastest pace since the euro notes and coins began circulating.
Consumers' expectations of price rises over the next year have risen quite sharply.
What is more, unemployment is low and, judging by the unions' opening bids in pay negotiations from Germany to Italy, workers are demanding hefty wage increases.
The risk of a wage-price spiral, albeit a modest one, is not negligible. The ECB's hawkishness—including threats that interest rates might have to rise—is designed to stamp it out.
http://www.economist.com/finance/
displaystory.cfm?story_id=10534662
Here's a new one - locking live pigs in your house.
http://www.cnn.com/2008/US/01/17/beck.housingcrisis/index.html
40 0000 (forty thousand) real estate agencies closed down in Spain in 2007 due to low sales.
Builders folding because they bought plots at an speculative price and dont have margin to lower prices...
Check out Elpais.es for the sotry (in spanish)...
You can not make this up. Can't wait for the motion picture.
Zillionaire Reatly Inc. in Florida starting a charity to end homelessness. LOL
http://www.zillionairerealty.com/charity/
Damn who's the Anon Inflation Bogeyman?
.
.
.
Yeah my wages have been going up 10% a year for the past 5 years, cuz of all this "inflation"
.
.
.
Oh wait, that was just in my dreams.
.
.
.
DOPES!!!
mark cuban says he is going to help ron paul. be very careful ron, be very careful of the the rich jewish man bearing gifts.
Jim Cramer said during this week's freak out:
"...we are in the last stages of rapacious capitalism..."
ra·pa·cious
1. given to seizing for plunder or the satisfaction of greed.
2. inordinately greedy; predatory;
Also heard this week: one of Lou Dobbs commentators was talking about McCain's Michigan platform on retraining autoworkers:
"Retraining and reeducation for what? The technology jobs are going overseas, what are they going to be retrained for?"
Amazing to hear the truth anywhere on TV ....but twice in one week. Wow!
You must read this...it's a joke but it rings sooo true
Modern American Business practices in a nutshell.
A Japanese company (Toyota) and an American company (General Motors) decided to have a canoe race on the Missouri River. Both teams practiced long and hard to reach their peak performance before the race. On the big day, the Japanese team won by a mile.
The Americans, very discouraged and depressed, decided to investigate the reason for the crushing defeat. A management team made up of senior executives was formed to investigate and recommend appropriate action. Their conclusion was the Japanese team had 8 people rowing and 1 person steering, while the American team had 8 people steering and 1 person rowing.
So American management hired a consulting company and paid them a large amount of money for a second opinion. They advised that too many people were steering the boat, while not enough people were rowing. To prevent another loss to the Japanese, the American's rowing team's management structure was totally reorganized to 4 steering supervisors, 3 area steering superintendents and 1 assistant superintendent steering manager. They also implemented a new performance system that would give the 1 person rowing the boat greater incentive to work harder. It was called the "Rowing Team Quality First Program," with meetings, dinners and free pens for the rower. There was discussion of getting new paddles, canoes and other equipment, extra vacation days for practices, and bonuses.
The next year the Japanese won by two miles. Humiliated, the American management laid off the rower for poor performance, halted development of a new canoe, sold the paddles, and canceled all capital investments for new equipment. The money saved was distributed to the Senior Executives as bonuses and the next year's racing team was outsourced to India.
Does anyone follow the Ohio judge's finding in 14 foreclosure cases. This seems to be of earth-shattering importance. Excerpt below:
http://www.globalresearch.ca/index.php?context=va&aid=7813
Part 1: Deutsche Bank’s painful lesson
Even experienced banker friends tell me that they think the worst of the US banking troubles are over and that things are slowly getting back to normal. What is lacking in their rosy optimism is the realization of the scale of the ongoing deterioration in credit markets globally, centered in the American asset-backed securities market, and especially in the market for CDO’s—Collateralized Debt Obligations and CMO’s—Collateralized Mortgage Obligations. By now every serious reader has heard the term “It’s a crisis in Sub-Prime US home mortgage debt.” What almost no one I know understands is that the Sub-Prime problem is but the tip of a colossal iceberg that is in a slow meltdown. I offer one recent example to illustrate my point that the “Financial Tsunami” is only beginning.
Deutsche Bank got a hard shock a few days ago when a judge in the state of Ohio in the USA made a ruling that the bank had no legal right to foreclose on 14 homes whose owners had failed to keep current in their monthly mortgage payments. Now this might sound like small beer for Deutsche Bank, one of the world’s largest banks with over €1.1 trillion (Billionen) in assets worldwide. As Hilmar Kopper used to say, “peanuts.” It’s not at all peanuts, however, for the Anglo-Saxon banking world and its European allies like Deutsche Bank, BNP Paribas, Barclays Bank, HSBC or others. Why?
A US Federal Judge, C.A. Boyko in Federal District Court in Cleveland Ohio ruled to dismiss a claim by Deutsche Bank National Trust Company. DB’s US subsidiary was seeking to take possession of 14 homes from Cleveland residents living in them, in order to claim the assets.
Here comes the hair in the soup. The Judge asked DB to show documents proving legal title to the 14 homes. DB could not. All DB attorneys could show was a document showing only an “intent to convey the rights in the mortgages.” They could not produce the actual mortgage, the heart of Western property rights since the Magna Charta of not longer.
Again why could Deutsche Bank not show the 14 mortgages on the 14 homes? Because they live in the exotic new world of “global securitization”, where banks like DB or Citigroup buy tens of thousands of mortgages from small local lending banks, “bundle” them into Jumbo new securities which then are rated by Moody’s or Standard & Poors or Fitch, and sell them as bonds to pension funds or other banks or private investors who naively believed they were buying bonds rated AAA, the highest, and never realized that their “bundle” of say 1,000 different home mortgages, contained maybe 20% or 200 mortgages rated “sub-prime,” i.e. of dubious credit quality.
Indeed the profits being earned in the past seven years by the world’s largest financial players from Goldman Sachs to Morgan Stanley to HSBC, Chase, and yes, Deutsche Bank, were so staggering, few bothered to open the risk models used by the professionals who bundled the mortgages. Certainly not the Big Three rating companies who had a criminal conflict of interest in giving top debt ratings. That changed abruptly last August and since then the major banks have issued one after another report of disastrous “sub-prime” losses.
Keith-
Here's an article in the Windsor Star titled: "Tent City is suburbs cost of home crisis"
The story says eventually, many So. Califoria forclosed families will end up here along the railroad tracks with other homeless people...
http://www.canada.com/windsorstar/news/business/story.html?id=44dce79f-7ac7-4e60-b33b-af5215005ca9&k=78594
The New Credit Crunch.
"The doctor will see your credit now"
http://tinyurl.com/2vyt7d
"The project, dubbed “MedFICO” in some early press reports, will aid hospitals in assessing a patient’s ability to pay their medical bills."
Bad Credit You Die, Good Credit You Live...
Don't know if this has been posted, but , sigh, here we go...
http://tinyurl.com/2gmotm
Mortgage Exec Jumps to Death
http://www.youtube.com/watch?v=x8AtlPYpbeo
Greenspan's body count:
An apparent murder-suicide by a failed subprime mortgage exec.
Inflation to climb if dollar-peg stays
Average annual inflation in the GCC is likely to climb to seven per cent in 2008 if exchange rate regimes of the member countries whose currencies are pegged to a tumbling dollar are not reconfigured, the Institute of International Finance (IIF) warned.
The Washington-based group, which represents the world's large banks, said inflation is trending upwards in most GCC countries and is most pronounced in Qatar and the UAE, where consumer price increases are in excess of 10 per cent.
Average consumer price inflation in the GCC reached a 15-year high of 5.3 per cent in 2006, and could have risen to 6.7 per cent in 2007, the IIF said.
"If the inflation rate continues to go up and if the situation with respect to the dollar and US monetary policies continues, pressures will build up within the GCC to ... either have a one-off revaluation or to shift to a currency basket," said George Abed, the IIF's director for Africa and the Middle East.
http://www.khaleejtimes.com/
DisplayArticleNew.asp?xfile=
data/business/2008/January/
business_January479.xml&
section=business&col=
Saudi Inflation Blamed on Falling Dollar, but the US Federal Reserve don't care.
Fed still going weaken the US Dollar by lowering interest rate.
http://www.npr.org/templates/
story/story.php?storyId=
18212197&ft=1&f=1004
In oil-rich Saudi Arabia the price of food is rising, and so is discontent. Ordinary residents of the monarchy are circulating text-messages urging a milk boycott. Inflation has some economists calling on Saudi Arabia to revalue its currency.
http://www.usatoday.com/money/
economy/2008-01-18-lacker_N.htm?
csp=34
Fed's inflation hawk says further rate cuts 'quite possible', Federal Reserve Bank of Richmond President Jeffrey Lacker said Friday.
On inflation, he made plain that it could be put aside.
In response to audience questions, Lacker noted that one of the influences on rising prices was the dollar's declining value against other major currencies, which makes everything from imported oil to consumer goods more costly.
"The falling value of the dollar externally obviously provides some impetus to inflation domestically through input prices," he said. The dollar has lost value amid concerns about U.S. economic prospects and because investors foresee U.S. interest rates declining.
It was a major shift in tone for one of the Fed's arch inflation hawks, who voted repeatedly against rate cuts in 2006.
ECB reiterates rate hike warning
The European Central Bank reiterated Thursday a strong warning about eurozone inflation, calling for price and wage moderation and suggesting it would raise interest rates if necessary.
A monthly ECB bulletin said it was "absolutely essential" that long-term inflation be avoided, underscoring that the bank "remains prepared to act pre-emptively so that second-round effects" do not materialise.
Such effects include further consumer price increases and excessive pay increases.
http://news.yahoo.com/s/afp/
20080117/bs_afp/
eueurozoneecbbankrateforexmoney
_080117105618
The dumbest, most destructive economic policy of the Bush Administration has been its weak-dollar position--letting the dollar slide in value against the euro, the yen, the pound and gold. The repeatedly disproved theory in operation here is that cheapening your currency will improve your trade balance and that an improved trade balance makes your economy stronger and wealthier.
The prices of oil and other commodities are surging primarily because of the weak dollar. Between mid-2003 and the beginning of 2008 oil has zoomed from $25 a barrel to almost $100. Real demand in oil didn't suddenly massively increase to justify a nearly fourfold rise in price. The best indicator of inflation is gold.
John Kennedy was no economist either, yet he didn't hesitate to declare that the dollar should be as good as gold. Bill Clinton was no economist, but he understood that a weak dollar and the ensuing inflation it begets destroyed Jimmy Carter's presidency. Ronald Reagan actually did study economics, and he was willing to pay a severe but, thankfully, short-term political price to break the inflation fever gripping the country in the early 1980s.
If President Bush is too befuddled or fearful to act now to shore up the dollar, the markets will force him to do so fairly soon.
http://www.forbes.com/global/
2008/0128/009.html
The median price of a home in California tumbled nearly 15 percent amid a steep drop in sales in December, a real estate research firm said Thursday.
The median home price hit $402,000 last month, down 14.8 percent from $472,000 in the year-ago period, according to DataQuick Information Systems.
The state's median home price peaked last spring at $484,000.
http://www.ledger-dispatch.com/
news/newsview.asp?c=234305
Washington Mutual's 4th-quarter loss worse than feared: $1.87 billion
WaMu Chief Executive Kerry Killinger said more harsh medicine could be coming. "We are not done,"
Washington Mutual declared a quarterly dividend of 15 cents a share on its common stock. That's down from 56 cents a share in the previous quarter; WaMu's board cut the dividend to preserve capital.
http://seattlepi.nwsource.com/
business/347762_wamuearns18.html
LOL
Realtors Know How to Sell ad
ala Caliguy.
It's getting ugly.
Mortgage company exec jumps to death
MARLTON, N.J. - An executive of a collapsed subprime mortgage lender jumped to his death from a bridge Friday, shortly after his wife's body was found inside their New Jersey home, authorities said.
...
Walter Buczynski was a vice president of Columbia, Md.-based Fieldstone Mortgage Co., a high-flying subprime mortgage lender that made $5.5 billion in mortgage loans and employed about 1,000 people as late as 2006.
about money from govt :
This is a bad move. They should give sheeple a CREDIT CARD WITH 500 $ LIMIT (say from Citi or Chase). That way will be clear for everybody what's this game all about - not to mention the sheeple will feel more comfortable with spending :d
Remember those real state agents who told you that House Prices never go down in Silicon Valley, apparently these home owners do not agree.
(Note: HOUSE not CONDO. This list is just a small portion of what is going on)
Last Sale: $316,538 (01/18/2007)
Asking: $265,000
Last Sale: $438,157 (06/25/2007)
Asking: $306,280
Last Sale: $500,000 (04/25/2005)
Asking: $315,000
Last Sale: $459,239 (04/10/2007)
Asking: $334,900
Last Sale: $605,000 (11/27/2006)
Asking: $349,000
Last Sale: $407,000 (02/04/2005)
Asking: $349,000
Last Sale: $387,000 (01/31/2005)
Asking: $349,500
Last Sale: $400,500 (10/18/2007)
Asking: $349,900
Last Sale: $485,794 (10/05/2007)
Asking: $349,900
Last Sale: $450,000 (08/11/2005)
Asking: $350,000
Last Sale: $580,000 (05/16/2006)
Asking: $355,000
Last Sale: $451,695 (10/10/2007)
Asking: $359,900
Last Sale: $460,036 (09/13/2007)
Asking: $359,900
Last Sale: $459,000 (09/24/2007)
Asking: $369,900
Last Sale: $488,987 (08/29/2007)
Asking: $372,000
Last Sale: $459,000 (12/21/2007)
Asking: $374,900
Last Sale: $625,000 (09/18/2006)
Asking: $375,000
Last Sale: $482,000 (07/13/2005)
Asking: $379,900
Last Sale: $492,920 (09/13/2007)
Asking: $379,900
Last Sale: $512,226 (08/29/2007)
Asking: $389,900
Last Sale: $590,000 (05/27/2005)
Asking: $399,000
Last Sale: $487,191 (11/16/2007)
Asking: $399,900
Last Sale: $572,000 (11/23/2005)
Asking: $399,999
Can we cure our housing lust?
http://www.realclearpolitics.com/articles/2008/01/can_we_cure_our_house_lust.html
http://millionairemommynextdoor.blogspot.com/2007/10/dispelling-myth-that-home-ownership-is.html
Dispelling the myth that homeownership is best.
We all know this here at HP, but for the snapperheads who don't get it - yet - send them this link.
Drooling morons running the country:
Congresswoman asks Bernanke about his past as CEO of Goldman Sachs.
European Central Bank council member Mario Draghi said it is the responsibility of the central bank to fight inflation even as Europe's economy slows.
``The central bank has the duty to act quickly and firmly'' against inflation, Draghi said during an annual meeting of Italian currency traders and bankers in Bari, Italy. Price stability ``will be maintained.''
http://www.bloomberg.com/apps/
news?pid=20601085&sid=aamY3lTmmACg
Indian annual inflation edged up in early January to its highest reading in four months, as pressure from oil and food prices persisted, and analysts said the increase meant an interest rate cut was unlikely this month.
The wholesale price index rose 3.79 percent in the 12 months to Jan. 5, higher than the previous week's rate of 3.50 percent and above a median forecast of 3.55 percent.
The Reserve Bank of India holds a quarterly rate review on Jan. 29 and although some expectation has built up in the bond market it may cut rates, after holding them steady since March, analysts said the data indicated policy would remain unchanged.
http://malaysia.news.yahoo.com/
rtrs/20080118/tbs-india-economy
-inflation-02c71ef.html
Blowfly said...
I have no problem in lynching retarded imbeciles who are renting shit-holes in the ghetto part of town...
Ever invite a hot girl into your rat and roach infested efficiency? Pick her up in your 1992 Nissan roach coach? Yes you, with the vacant stare, I’m talking to you!!!! .....
I can't help it. This just begs the obvious. What kind of "hot" ladies do you date? Do you take out your mortgage payment book on the first date to show them what a stud you are with that "massive" payment?
Does she get hot over your Escalade or your brand new SUV when you pull up??
This is called overcompensation dude.
Just like you overpay for everything in your life, I am sure you will overpay for the purchase of the bride.
Since all you seem to do is brag about your overpaid stuff, I am thinking that your hot, purchased, bride just might be going down to the shit hole renter in the ghetto for the "hot" part.
Both Zimbabwe and America have weaken their currencies in the face of an economic crisis.
Is the difference between America and Zimbabwe is that America has more CREDIT WORTHINESS at this time.
America has more desirable asset then Zimbabwe, but once America sell off those asset (like high tech weapons - technology) to foreign powers then what will become of America CREDIT WORTHINESS.
Remember what happened to Russia after the Cold War when Russia started to sell off their high tech weapons, their economy became like of Zimbabwe
http://www.zwnews.com/
issuefull.cfm?ArticleID=18098
IMF estimates inflation at 150 000 percent
An International Monetary Fund (IMF) document says Zimbabwe's inflation for January has galloped to about 150 000% as the economy continues to crumble. This is the same rate reached by Germany during the Weimar Republic in the 1920s in the post-First World War era.
The correct inflation is that which is measured using the black market rates. "The parallel market exchange rate - measured by the black market rate and notional rate - better gauges the declining purchasing power in Zimbabwe." The document blamed the inflation rise on the government's over reliance on money printing to fund its operations. "Money creation has been the main source of financing quasi-fiscal activities, which form the bulk of public sector spending," the document said.
The document added: "In an economy where money creation is the main source of deficit financing, the overall public sector deficit (central government, public enterprises, quasi-fiscal etc) becomes a principal determinant of money growth and hence inflation." It said the foreign currency rate mismatch was also at the root cause of the spiralling inflation.
If the meaning of money is equal to service provided, then Foreigners have two choices start making American pay off their debt or buy American factories, learn the technology then ship the manufacturing equipment oversea.
http://www.nytimes.com/
2008/01/20/business/
20invest.html
Foreigners Buy Stakes in the U.S. at a Record Pace
Last May, a Saudi Arabian conglomerate bought a Massachusetts plastics maker. In November, a French company established a new factory in Adrian, Mich., adding 189 automotive jobs to an area accustomed to layoffs. In December, a British company bought a New Jersey maker of cough syrup.
For much of the world, the United States is now on sale at discount prices. With credit tight, unemployment growing and worries mounting about a potential recession, American business and government leaders are courting foreign money to keep the economy growing. Foreign investors are buying aggressively, taking advantage of American duress and a weak dollar to snap up what many see as bargains, while making inroads to the world’s largest market.
Last year, foreign investors poured a record $414 billion into securing stakes in American companies, factories and other properties through private deals and purchases of publicly traded stock, according to Thomson Financial, a research firm. That was up 90 percent from the previous year and more than double the average for the last decade. It amounted to more than one-fourth of all announced deals for the year, Thomson said.
During the first two weeks of this year, foreign businesses agreed to invest another $22.6 billion for stakes in American companies — more than half the value of all announced deals. If a recession now unfolds and the dollar drops further, the pace could accelerate, economists say.
The surge of foreign money has injected fresh tension into a running debate about America’s place in the global economy.
http://tinyurl.com/2m6nux
A high-ranking executive of a collapsed subprime mortgage lender jumped to his death from the Delaware Memorial Bridge on Friday, shortly after his wife's body was found inside their Burlington County home, authorities said.
Its like 1930 all over again - except they had a bit more class back then and didnt also murder their wifes.
Ron Paul took 2nd in Nevada.
Great slogan found on another blog...
RON PAUL for the LONG HAUL!
WOW, 2nd PLACE in Nevada, and the men behind the curtian are scared; hence the media blackout on RP.
True Story today; I live in Orange County, CA right across from the beach in a mobile home which I paid cash for with funny money from cashing out in 2005 on a SFH. Anyways I posted an ad seeking a roomate, and I had this EX REALTOR AND MORTGAGE BROKER older lady call me and tell me of her wonderful service to turn it into a corporate short term rental. So I let her come by and take a look because I wanted to waste her time and get some ideas from her. She drives up in a very old Jaguar (funny how she said pompously on her cell phone as she arrives "look for me I'm driving a Jag" I'm thinking yeah a 1981 XJS worth 1,500 bucks tops Her offer was she will decorate and stage the room ala HGTV flip this house kind of shows, then she will find a tennant and she will even collect the rent but she requires 60% of the rent and I get 40%.
So I asked her "why should I pay you 60% to decorate , take photos, and post and answer on craigslist? She boasts about how she is a professional Realtor and can get 3X the avg rents BECAUSE SHE STAGES THE PROPERTY
So when I started to boast about how educated I am about the market she got real nervous started to look down then she sadly told me that "I got into an option arm loan for 3500/mo bought a Seal beach condo in 2005 and this is the only way I can keep my own house. I politely told her that I can do what you are offering to do myself and not pay you anything. She got real pushy and was also trying to sell me construction services saying that if we put in Travertine, laminate flooring, accent wall ect we can get alot more in rent. Then she even tried to talk up the real esate market saying it will never be a better time to buy then it is now.
No wonder were in such deep shit these buffoons posing as financial advisors are fucking clueless. I expect her to be working at walmart soon.
Bay Area Foreclosures Auctions Video
http://video.nbc11.com/
player/?id=206553
What stage in the housing slump is Silicon Valley in.
http://www.mercurynews.com/
localnewsheadlines/
ci_7999557?nclick_check=1
With the real estate market in a slump, residents are opting for unconventional methods of selling their homes. Three local residents opted for an edgier approach and tried their hands at live auctions.
In March, a home sold in Campbell on Patio Drive in the Pruneyard via auction in less than 10 minutes. The bidding began at $525,000 and rose to $860,000, with more than 50 bidders.
However, there were mixed results later in the year.
In December, a home in Willow Glen and one in Cambrian scheduled for live auctions had a lack of bidders and the two homes were opened up to silent auctions.
"This is a new process," says Faber Johnson, director of new business for Pacific Auction Exchange of San Jose, the auction house selling the properties. "Some people were just here to understand the process, not necessarily to bid."
House auctions are part of a growing trend in the United States, PAX president Ken Keegan says.
Remember there are three phases in a Housing Cycle.
1) Slump
2) Recovery
3) Boom
Each phases have three stages
a) Beginning
b) Middle
c) End
Typically there are no bargain in Auction in the Beginning Stage of a housing slump, but bidders will still bid house price up.
During the Middle Stage of a housing slump, banks normally take back the house in the Auction rather then take the lowest bid. (Banks use their own straw buyers in Auction).
During the Ending Stage of a housing slump when house price starts to fall, banks realize that it is better to lose a little money then to lose allot and start taking low bids.
Banks know that it cost money to maintain a house, pay the interest on the loan, and do the repair on the house to stage it for sell.
During the Ending Stage of a housing slump when too many home go on foreclosure, many banks will not have the resource to take the house back in an Auctions.
Remember some home owners who are going through the foreclosure will sometimes take out light fixture, sinks, carpet, and etc during the ending stage of a housing slump to recouple what money they put into the house.
Can gasoline go up to $4/gallon in February.
http://uk.reuters.com/article/
oilRpt/idUKL1935790920080119
OPEC says higher oil output not needed
OPEC currently sees no need for an increase in oil output but is analysing the market every day, the organisation's Secretary General Abdullah al-Badri told German weekly magazine Der Spiegel in an interview.
"We're carefully analysing the market day in, day out. If we reach the conclusion the fundamental data warrant an increase in production, then our oil ministers will not hesitate to decree this," he told the magazine in comments published on Saturday.
"But at present we see no need for this."
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