The economy is sinking faster than a mafia hitman wearing cement shoes in water; and, the mortgage/housing crisis is clearly to blame.
Wall Street was apparently totally shocked today when the Labor Department reported that 63, 000 nonfarm jobs were lost last month….As Reuters points out, the problem is that Wall Street experts had expected that 25,000 positions would actually be added. So much for experts!
Stocks Down
This news helped send stocks into a tailspin, closing at their lowest level in 19 months.
Reuters points out that this bad news came at the same time that “jumbo” mortgage lender Thornburg Mortgage was unable to meet demands from creditors for upfront cash. Not good.
More and more experts are now saying the U.S. is in a recession, official or not.
And, the worst is yet to come. There will be still more foreclosures this year…many more. The credit markets are getting tighter despite Fed action. And, consumer confidence continues to go down.
It is no longer accurate to refer to this as a subprime mortgage crisis. Let’s just agree that this is a financial crisis, period! Okay.
Related posts:
- Housing Slump Brings U.S. Economy Down;Manufacturing Stalls
- How the Housing Crisis is Affecting Lenders and the Economy as a Whole
- Housing Crisis Hits California Economy Like Ton Of Bricks
- CBS News Interviews BiggerPockets Founder Joshua Dorkin About Ongoing Housing Crisis
- The Dark At The End Of The Tunnel: Subprime Fallout Hits Global Proportions
Article Author: Charles FeldmanCharles has written 179 articles for us.
Visit Charles's Website: http://www.thefeldmanblog.com
Charles is currently reporting for KNX Radio in Los Angeles, is the co-author of the book No Time To Think, and can be found commenting about the news on his blog, The Feldman Blog, as well as on The Huffington Post.
Joshua Dorkin
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a weak dollar increases exports- which is great for the economy- housing will bump back it always does- with more regulations on zoning and mortgages- will keep the housing market stable
bernard fisher brooklyn new york
Maybe the mortgage crisis is near to us. I do not think it would turn worst.
Thanks,
I’m going to Japan next week. The exchange rate is 102 Yen to the dollar. I think the saying, “If only I had a dollar for every time you said ___ ” will be lost soon enough.
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