Monday, April 17, 2006

The Bond Market Likes Bad News

The National Association of Home Builders released there sentiment index today and the bond market rallied slightly on the weak index results. The index came in at 50, which was considerably lower than what the street was looking for, which was 55. Bond traders like it when there are strong signals that the housing bubble is bursting because it implies that the fed will stop raising interest rates sooner, rather than later.

“U.S. home builder sentiment declined in April to its lowest level since November 2001, the National Association of Home Builders reported on Monday.

The drop was in response to rising mortgage rates, continued affordability issues and subsiding demand from investors and speculators, the NAHB said.

The NAHB/Wells Fargo Housing Market index slid to 50 in April, seasonally adjusted, from March's downwardly revised 54. It was the lowest reading since November 2001, when it stood at 48.”

6 Comments:

Anonymous rbyzell said...

yes, things are slowing down considerably it seems but, i really don't see the shit hitting the fan until bush leaves office. i'm one of those people who could have bought at the shore years ago and didn't (who buys a house in there early 20's?) but anyway, i almost did. so yes, i'm bitter. but, i think what we all want is for the shore to be a mellow place again. a place where you could have fun. not a place where everyone talks about real estate and what that or this house sold for. the difference betweeen stock market booms and real estate booms is that real estate really affects the remaining middle class and working poor by pushing us out and away. can't wait till the boom is over.

Monday, April 17, 2006 8:13:00 PM  
Anonymous Investor said...

This comment has been removed by a blog administrator.

Tuesday, April 18, 2006 12:16:00 AM  
Anonymous Anonymous said...

There is a huge article in the latest issue of Harper's about the bubble and its dire consequences called "The New Road to Serfdom: An illustrated guide to the coming real estate collapse". A must read, you'll definitely get some great quotes from it.

Tuesday, April 18, 2006 5:23:00 PM  
Blogger Joe Berenguer said...

I just came across your blog and wanted to
drop you, Blogger, a note telling you how impressed I was with
the information you have posted here.
If you have a moment, please visit my site:
loans center
It covers loans center related contents.
I send you warm regards and wish you continued success.

Wednesday, May 10, 2006 6:42:00 PM  
Blogger Paul Adams said...

I just came across your blog and wanted to
drop you a note telling you, Friend, how impressed I was with it.
I give you my best wishes for your future endeavors.
If you have a moment, please visit my site:
loans center
It covers loans center related contents.
All the best!

Thursday, May 11, 2006 3:22:00 PM  
Blogger James Baker said...

I was just searching blogs,and I found your site, Friend! I like it!
Please accept my compliments and wishes for your happiness and success.
If you have a moment, please take a look at my site:
loans center
It pretty much covers loans center related issues.
All the best!

Saturday, May 13, 2006 3:59:00 PM  

Post a Comment

<< Home