Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Heinz Blasnik- Views You Can Use -- Ignore unavailable to you. Want to Upgrade?

To: benwood who wrote (859)	5/7/2003 6:09:58 PM
From: patron_anejo_por_favor	Respond to of 4904

ROTFL! Ask them if home prices ever go down, while yer at it!<G> EDIT: I just read yer 2nd paragraph! Double ROTFLMAO!

To: benwood who wrote (859)	5/7/2003 8:05:56 PM
From: gpowell	Read Replies (1) \| Respond to of 4904

Instead, there has been a great credit card & refi bridge/binge to connect the standard of living from when they were "confident" to when they fully expect to be confident again. Consumption smoothing is a well known phenomenon. However, the data suggests that that isn’t what individuals are doing. It does appear that the savings rate began recovering in early 2002. Also, the refi data from Q42002 indicates people are paying down their mortgages. Greater than 20% of refi’s in Q42002 resulted in lower outstanding balances. That is a record. Money has been flowing out of equities and into bonds, money markets, and housing.