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

To: Eva who wrote (4398)	4/1/2008 5:22:24 PM
From: Pacing The Cage	Respond to of 4913

Re: "Latest Trotsky sighting" Thank you Eva. I always appreciate Heinz's insights.

To: Eva who wrote (4398)	4/1/2008 8:25:08 PM
From: patron_anejo_por_favor	Read Replies (1) \| Respond to of 4913

Good one, and just what I'd expect from him. I agree totally re: Gold 850, HUI could dip a bit lower than 400 (say 380) without signalling longer term trouble, but 400 would be OK with me.

To: Eva who wrote (4398)	4/3/2008 9:33:16 AM
From: TobagoJack	Read Replies (1) \| Respond to of 4913

to tease you :0) quote Heinz Blasnik: The social mood of 1990 is not comparable to the social mood of 2008. These days, 'walking away' from ones mortgage once home equity has turned negative has not only become socially acceptable, but is now downright fashionable. In addition, the amount of equity US citizens overall have on average left in their homes is at a record low, much lower than in 1990, while at the same time, household balance sheets have never carried more debt than now. These balance sheets are now ravaged like never before as the asset side of the ledger nosedives due to the sudden disappearance of the phantom wealth created by the bubble. The decision to abandon the upside down mortgages therefore makes good business sense in many cases. The blemished credit score has to be weighed against potential savings that have often reached quite significant amounts, as well as ending the stress of making ends meet. Much will depend on where house prices go from here. Since this has been the biggest real estate and credit bubble in US history, the default assumption should be that things will overshoot to the downside as much as they have to the upside - usually the bust is a mirror image of the boom. so the incentive to walk away is likely to increase rather than decrease. Yes, Americans are well known for working hard - but working hard in order to throw money into a black hole doesn't make much sense. unquote