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


To: zebra4o1 who wrote (35934)7/14/2005 11:23:55 AM
From: piggington  Read Replies (2) | Respond to of 110194
 
<Wouldn't defaults be more of a lagging indicator than a leading indicator?>

I view them more as a coincident indicator... my take being that as more and more mortgages reset (and the period of price flatness increases), more and more people will run into financial trouble. I would look for some upward movement in defaults as a sign that pressure was beginning to build on the market.

rich