Posted on 08/07/2007 11:20:02 AM PDT by Hydroshock
Fed leaves key short-term interest rate unchanged at 5.25%; indicates worries about credit problems. More details soon.
(Excerpt) Read more at money.cnn.com ...
There is a little bit of justice after all. Good for Bernanke.
I wish we could see the live video feed of Cramer in his office. It would be better than the scene at the end of Wall Street when Gordon Gekko realizes he’s been played and breaks his glass desk.
In my area in SE PA they are still building - and selling - luxury 4000+ sq ft homes for 750K and better.
Simple - just depends on who’s pandering for votes among the 30-second attention span crowd.
Good. The price of some of these cracker boxes in California will go down, and my kids might be able to afford a house without a 100 year note.
That took almost 15 minutes.
The suggestion is the FED screwed up big time.
Tomorrow the Revolution eh!
I am sure lowering the rate would have allowed a few of these hedge funds to live a lot longer....refinancing their debts, etc....but now they have to wait three long months for a new hope.
Good to see he has calmed down these days. He was definitely a candidate for a major medical incident.
Dang. I was hoping for an increase. Not sure how much longer I can deal with the temptation to buy money cheaply.
Love those charts that look like the trajectory of a rock heaved off a cliff.
Lets get the damm correction over with, shall we?
They're the guys who've been selling everything they've got to stay alive.
Steel imports from China (rolled sheet used substantially in home construction) and rebar (used substantially in poured foundations, new residential streets and sidewalks) should drop off the edge of the planet.
No doubt West Coast transplants that sold out when the gettin’ was good are driving that market. Wait ‘til they get a load of the good old PA school district property taxes.
I never understood why dropping the Fed funds rate by 1/4 point would have caused investors to rush back into the mortgage market anyway. I like the non-move by the Fed. The markets have overreacted to the subprime situation and are acting irrationally. No need for the Fed to feed the irrationality by cutting rates when it isn’t warranted.
What we need is coordinated policy with other countries that are raising their rates for no good reason. Unfortunately that's not going to happen with a president that is indifferent, arrogant, and ignorant when it come to economic policy.
No surprise. It’s just what I said would happen. “We’re concerned about inflation, but we could care less about what’s happening with the economy.” A piece of moss could be trained to be on the FOMC.
My bet is they were all short the market. IMO :)
Dow is up 28 now.
LLS
You got that right - and the land use nazis are pretty bad here too.
With low inflation, low unemployment, good productivity and excellent corporate profitability it looks more like a sweet spot to me. The high-risk mortgage issue is a drop in the bucket.
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