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 : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (22992)	9/24/2007 11:05:06 AM
From: elmatador	Respond to of 217617

Recovers pre-crisis level and beats new record: Brazil shrugs off subprime concerns as equities rise investors shrug off the US subprime mortgage crisis that briefly sent prices tumbling from previous highs in July. “The feeling on world markets is that things are calmer, interest rates are coming down, and while things are good, the markets that still have a built-in premium are the emerging markets,” said a São Paulo broker. Stocks rallied by 4.3 per cent last Tuesday after the US Federal Reserve's 0.5 percentage point interest rate cut. But the broker warned the subprime crisis had not retreated entirely. “If any more bad news comes out investors will react accordingly.” ft.com

To: TobagoJack who wrote (22992)	9/25/2007 12:16:05 AM
From: elmatador	Read Replies (1) \| Respond to of 217617

$4 trillion in household wealth would be lost if U.S. house prices fell 20%. Shiller the economist who predicted the bursting of the dot-com bubble earlier this decade warned that "the collapse of home prices might turn out to be the most severe since the Great Depression. "spillover effect across the economy through what economists call the wealth effect. Shiller has warned that "we could see much more than the 15 per cent real drop in national home price indices that we saw the last time." That was between 1989 and 1996. Another troubling sign – continued weakness of the U.S. dollar. Indeed, it may be that the recent cut in interest rates by the U.S. Federal Reserve is designed to lower the value of the U.S. dollar and boost U.S. exports while lowering imports. This would protect some American jobs at the expense of other countries (Note: reads like beg thy neighbor) In an International Monetary Fund seminar earlier this month, Nouriel Roubini of New York University warned that a U.S. recession was inevitable. "I expect that this financial turmoil is going to persist and it will be a vicious circle where the real economy gets worse and the financial markets get tighter and vice versa, the tightening of financial conditions leads to a slower economy," he warned. There already were signs of a broader weakening of consumer spending, Roubini said, with sales of autos and consumer durables such as appliances and furniture also falling. And a glut of unsold houses, with several hundred thousand Americans possibly losing their homes next year due to foreclosures, will curb housing construction. Roubini also predicted that businesses would cut back capital spending due to a rising cost of capital and uncertainty over future sales.