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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 (87537)10/10/2007 2:58:17 PM
From: Real Man  Read Replies (1) | Respond to of 110194
 
They might not, but the dollar will move down quicker as the
Fed drops the fed funds rates. It's not that RE won't be falling,
it's that with quickly falling dollar the RE fall becomes
invisible or masked, in dollars, by the dollar fall, and may even
appear to be rising, thus increasing home equity, in dollars.
Kind of the same stuff that happened to stock market bubble.
Everyone thinks it's a bull, but SP has not exceeded its
2001 high, in constant dollars.
That unless the dead bond vigilantes are raised again and
rates sky. Haven't seen them out there for a while. -g-