The Fed Puts Away Its Checkbook
The program that saw the Federal Reserve pump more than a trillion dollars into the purchase of mortgage-backed securities came to an end yesterday. The Fed’s purchases helped drive rates on 30-year mortgages down from over 6 percent when the program started in early 2009 to under five percent last month. Susan M. Wachter, professor…
The program that saw the Federal Reserve pump more than a trillion dollars into the purchase of mortgage-backed securities came to an end yesterday. The Fed’s purchases helped drive rates on 30-year mortgages down from over 6 percent when the program started in early 2009 to under five percent last month. Susan M. Wachter, professor of real estate and finance at the Wharton School of the University of Pennsylvania, called the program the single most important move to stabilize the economy and to prevent a debacle.” The big question now is, Where do rates go from here?
Fed Ends Its Purchasing of Mortgage Securities [NY Times]
Can someone please help me understand what happenes when inerest rates go to 10% and someone has a mortgage rate locked at 5%?
You better tell that to Soros, Paulson, Blackrock nd Vinik, among the largest holders of gold.
Also, have a look at the http://www.zerohedge.com site about the recent issues with gold.
Lunatics are usually ignored, not engaged. You already know about gold. Fff…fff…fff…POP!
***Bid half off peak comps***
BHO, is gold a bubble???
“The markets are a casino right now. You can’t trust valuations. The data is flawed.”
Christ, not these lines again!!!!! Lunatic fringe.
Edit
“If I say the sky will fall before it ascends higher than its recent peak [and it actually does], it doesn’t make me a genius (I’m not the only bear out there), it makes me right.”
***Bid half off peak comps***
This time, low rates, mopar. That’s obvious. Exactly where did I contradict myself? Gov meddling can move them either way. I’m talking about today.
be rude – Without history, correctly forcasted predictions would not be possible. I agree it’s not the only thing you look at but it’s definitely not the thing you ignore. We doom ourselves with repetition all the time. It complements my case in every way.
If I say the sky will fall before it ascends higher than its recent peak, it doesn’t make me a genius (I’m not the only bear out there), it makes me right. The collapse has no deadline. It’s on its own schedule. I sequence it but I try not to time it. Squirrels and broken clocks…yeah, standard bullshit.
The markets are a casino right now. You can’t trust valuations. The data is flawed.
Now, exactly what have I been proven wrong about? That brownstones or apartment sales will not be half off peak? It remains to be seen. We’ve had multiple false glimmers of hope. Like antidope clarified, I’ll be bullish when NY Case-Shiller YOY turns green (20-city composite too but NY Metro lags the rest of the nation).
***Bid half off peak comps***
BHO and Ditmas are both precisely right that the best buying opportunities can turn into the losers pretty quickly.
One has to be nimble, and also protect oneself with options and stop loss orders.
But merely pointing out historic bubbles — a history no one in the “bullpen” is ignoring — does nothing to support your case.
If you keep saying the sky is going to fall and one day you’re right, does that make you a genius? Even a blind squirrel finds a nut every now and again.
When the market does turn down again, you’ll surely crow that you’ve been proven right (ignoring the fact that you’ve been dead wrong for over a year now). More power to you. Smart traders will have banked profits earned since the March ’09 inflection, and will be making more on the short side. You talk, talk, talk about your view, others look at the data for what it is and actually make smart investment moves…
BHO, you contradict yourself. Are high rates the result of government meddling, or low rates? Which is it?