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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: John Vosilla who wrote (28099)3/8/2005 1:54:31 PM
From: ild  Read Replies (1) | Respond to of 110194
 
Five year yield over 4%. Can't be good to RE. Most popular 5/1 IO ARM mortgage today is at 5.125%. It was less than 4% at that time last year.

stockcharts.com[w,a]dacayiay[dd][pb200!b50!f][vc60]&pref=G

EDIT: Plunge in interest rates at that time last year accompanied by very low inventory helped to push RE values up about 15% in three months from Feb 2004 to April 2004. I'm referring to So Cal RE. Today interest rates are much higher and inventory is not low.



To: John Vosilla who wrote (28099)3/8/2005 2:45:29 PM
From: Crimson Ghost  Respond to of 110194
 
I see an across the board smash but with some sectors much weaker than others. I expect gold, energy, and commodity oriented stocks to hold up considerably better than financials and tech for example.