Dr. Housing Bubble Blog Thu 2010-09-16 16:36 EDT

Collapse in Southern California home sales a sign that prices will fall in 2011? The 2005 and 2006 collapse in sales led to prices tanking in 2007. Home prices still inflated after years of bank and government intervention.

drhousingbubble

Southern California home sales have collapsed for July and August. These are typically strong sales months. The summer is usually a solid time for sales but the introduction of government intervention, banks stalling, and toxic mortgages lingering on bank balance sheets have thrown a wrench into the typical home sales patterns. This August was the weakest month on record since August 2007, right when the California housing market was first entering the major price correction phase of the bursting bubble...

2005; 2006 collapse; 2007; 2011; bank; Collapse; Dr. Housing Bubble Blog; Fall; Government intervention; home prices; Inflation; Price; prices tank; sales led; signed; Southern California home sales; years.

Wed 2010-05-19 11:52 EDT

billy blog >> Blog Archive >> When you've got friends like this ... Part 1

...I am forming the view that many so-called progressive economic think tanks and media outlets in the US are in fact nothing of the sort...Today I read two position pieces from self-proclaimed progressive writers which could have easily been written by any neo-liberal commentator. True, the rhetoric was guarded and there was talk about needing to worry about getting growth started again -- but the message was clear -- the US has dangerously high deficits and unsustainable debt levels and an exit plan is urgently required to take the fiscal position of the government bank into balance. Very sad...since when has the progressive agenda consisted of worrying about deficit reduction as a policy aim? Placing a focus on some specific targetted deficit outcome will almost always lead a policy maker astray in a modern monetary economy. It is not a progressive position...

Billy Blog; blogs Archive; friends; Part 1.

zero hedge Wed 2009-10-14 12:12 EDT

Why Did U.S. SDR Holdings Increase Five Fold In The Last Week Of August?

...The big question mark at the end of August is when the U.S. International Reserve Position increased by almost 50%. The reason for this: a near quintupling of S.D.R. holdings on the U.S. balance sheet in the span of one week... By purchasing $40 billion in SDRs virtually overnight, what the Fed has done is to increase the value of the entire basket pro-rata, while in the process reducing the actual value of the dollar (which is a weighted constituent of the SDR basket). This was an operation to reduce the dollar's value: pure and simple. In many ways it explains why the DXY has continued its straight one way decline since the beginning of September, when many pundits assumed the market was finally going to tank on profit taking after Labor day. By performing this dollar adverse transaction, the Fed sent a loud and clear signal what the Fed was going to do going forward vis-a-vis the i) dollar and ii) its derivative, the stock market.

August; Folding; U.S. SDR Holdings Increase; weekly; Zero Hedge.

Tue 2009-09-29 11:43 EDT

The Post-Bubble Malaise

Mike Whitney

...the Fed is building excess bank reserves (nearly $1 trillion in the last year alone) with the tacit understanding that the banks will return the favor by purchasing Uncle Sam's sovereign debt. It's all very confusing and circular, in keeping with Bernanke's stated commitment to "transparency". What a laugh. The good news is that the trillions in government paper probably won't increase inflation until the economy begins to improve and the slack in capacity is reduced. Then we can expect to get walloped with hyperinflation. But that could be years off. For the foreseeable future, it's all about deflation...The question is, how long can the Obama administration write checks on an account that's overdrawn by $11 trillion (the national debt) before the foreign appetite for US Treasurys wanes and we have a sovereign debt crisis? If the Fed is faking sales of Treasurys to conceal the damage--as I expect it is--we could see the dollar plunge to $2 per euro by the middle of 2010...The consumer is maxed out, private sector activity is in the tank, and government stimulus is the only thing keeping the economy off the meat-wagon. Bernanke might not admit it, but the economy is sinking into post-bubble malaise.

Post bubble malaise.

Thu 2009-07-30 00:00 EDT

Second Vermont Republic

a nonviolent citizens' network and think tank opposed to the tyranny of Corporate America and the U.S. government, and committed to the peaceful return of Vermont to its status as an independent republic and more broadly the dissolution of the Union. Thomas H. Naylor

Vermont Republic.

Thu 2009-07-30 00:00 EDT

Zero Hedge: Guest Post: Tax Revenues Tanking

-- ``the lions share of the planned sales of Treasuries in 2009 cannot be met by demand from the market..Auctions will fail and the Fed will step in...the 2009 budget deficit is more likely to widen to levels between $2.5 and $3 trillion rather than the CBOs $1.8 trillion forecast. We also believe that inflation could start setting in as early as Q3 of 2009 and will accelerate sharply by 2010.''

Guest Post; Tax Revenues Tanking; Zero Hedge.

Thu 2009-02-26 00:00 EST

naked capitalism: Asian Container Traffic Tanked in January

Asian Container Traffic Tanked; January; naked capitalism.

Tue 2009-02-24 00:00 EST

naked capitalism: Quote of the Week

from Jesse: ``Adding liquidity to the banks is as useful as filling the tank of a car wrapped around a telephone pole''

naked capitalism; quote; weekly.

Fri 2009-01-16 00:00 EST

naked capitalism: Is Bush Tanking Stocks to Grab the Remaining $350 Billion TARP?

350; Bush Tanking Stocks; grabs; naked capitalism; remains; TARP.

Wed 2008-07-16 00:00 EDT

naked capitalism: Vote of No Confidence: Dollar Tanks (And More on Fannie and Freddie)

Confidence; Dollar Tanks; Fannie; Freddie; naked capitalism; voting.

Wed 2008-06-11 00:00 EDT

naked capitalism: Chinese Stock Markets Tank, Other Foreign Indices Fall

Chinese Stock Markets Tank; Foreign Indices Fall; naked capitalism.

Fri 2008-01-18 00:00 EST

Money Matters: Dr. Jekyll And Mr. Hyde Conspire To Destroy Us

by Elaine Meinel Supkis; Supkis predicts "IF JAPAN INTERVENES OPENLY TO WEAKEN THE YEN, CHINA WILL DUMP THEIR FOREX RESERVES OF DOLLARS ONTO THE OPEN MARKET AND TANK THE DOLLAR."

destroyed; Dr. Jekyll; money matters; Mr. Hyde Conspire.