As most economists predicted, the Federal Reserve Board has cut interest rates by a quarter of a point to 4 1/2 percent.
economy
Perk Up: Consumer Confidence Falls To Two Year Low
By 10.30.07
Hey there, camper! Why the long face? Bloomberg is reporting that consumer confidence is at a two year low. Does someone need a hug?
Joint Economic Committee Estimates 2 Million Foreclosures By 2009
By 10.26.07
The Joint Economic Committee has released a report estimating 2 million foreclosures by 2009, causing $71 billion in lost housing wealth.
20th Anniversary Of "Black Monday" Crash Of '87
By 10.19.07
Today marks the 20th anniversary of the “Black Monday” crash of ’87, in which the stock market lost 22.6% in one day, the second largest one day percentage drop in history and one we’re not likely to see again any time soon.
By 10.16.07
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Bernanke says “Reply hazy, try again.” [Bloomberg]
Citibank Warns Of 60% Drop In Earnings Due To Subprime Meltdown
By 10.1.07
Citibank is warning investors to expect a 60% drop in earnings due to “dislocations in the mortgage-backed securities and credit markets, and deterioration in the consumer credit environment.”
Most Affordable Real Estate Markets By State
By 9.27.07
Where are the affordable real estate markets in your state? Oh, we don’t know. It’s a good thing BusinessWeek does. They’ve made a list of the most and least affordable markets in each of these United States.
Canadian Book Buyers Are Angry Over Dollar Parity
By 9.24.07
Canadian book buyers are mad! After decades of higher book prices being explained away by the weak Canadian dollar, book buyers suddenly find themselves paying “more” money for the same book.
U.S. Dollar = Canadian Dollar For First Time Since 1976
By 9.20.07
According to the Associated Press the U.S. Dollar and the Canadian Dollar have reached parity for the first time since 1976, although Google is currently claiming that the ratio is 1 Canadian dollar = 0.987069 U.S. dollars. Fun!
Fed Cuts Rate by Half Percentage Point
By 9.18.07
The Fed cut interest rates by half a percentage point this afternoon, citing “tightening of credit conditions” that have the potential to “intensify the housing correction.”
Foreclosures Up 115% From Last Year
By 9.18.07
Foreclosures “zoomed” in August, up 115% from last year and 36% from July according to the newest numbers from RealtyTrac. This is the beginning of one of three remaining waves that will hit the market in the next year. This wave is expected to peak in October as 2 million 2/28 ARMs reset to market rates and an estimated 600,000 homeowners can no longer afford their payments.
Investors Don't Like Mutual Funds Anymore?
By 9.17.07
USAToday is reporting that US stock funds, once the darling of investors, aren’t drawing dollars like they used to.
Southern California Home Sales Sink To 15-Year Low Forcing "Blow-Out" Sales Of New Homes
By 9.13.07
Bad news for Southern California; home sales in August dropped to a 15-year low according to the LA Times. Sales plunged 36% from last year and 71% of Southern California zip codes are reporting declines in housing prices.
Pending Home Sales Plummet 12% In July
By 9.5.07
“The housing market is bad and is going to stay bad for some time,” said Zach Pandl, an economist at Lehman Brothers Holdings Inc. in New York, who predicted a 3 percent drop. “This number does not look good for existing home sales for August.”
Consumer Confidence, Home Prices Take A Nosedive
By 8.28.07
It was only a few short weeks ago that the media was reporting a new 6 year high in consumer confidence. We wanted to buy tacos. And jetskis. And footballs.
What Retail Slump? Target And Lowe's Are Doing Just Fine
By 8.21.07
Target and Lowe’s cheered everyone up by announcing that they’re doing just fine in the “tough selling market” that Home Depot was so worried about.
Countrywide, America's Largest Mortgage Lender, May Have To File For Bankruptcy
By 8.15.07
“If enough financial pressure is placed on Countrywide or if the market loses confidence in its ability to function properly then the model can break, leading to an effective insolvency,” Bruce wrote. “If liquidations occur in a weak market, then it is possible for Countrywide to go bankrupt.”
Attention: The Subprime Meltdown Will Be Politicized
By 8.8.07
The subprime meltdown has made its way into campaign speeches, thanks to one Sen. H. Clinton (D-NY).
