2008: Dollars, Gold & the Tasty New Whopper Sauce - January 3, 2008 10:05

WHO CAN REALLY SAY what 2008 will bring? A post-Olympics slump in China, perhaps, tipping its near-10% annual rate of expansion into an historic depression…The first annual fall since 1995 might also hit UK real estate too, unwinding a chunk of the near-quadrupling of London house prices…

Mixed housing market reports close 2007, 2008 financial markets prompt concern. - January 1, 2008 10:29

The National Association of Realtors (NAR) announced today that November existing home sales were up .4%, the first such increase in nine months.  This is the second positive report from November’s housing market as last week it was reported that foreclosures fell 10% during the month.

Oil and Gold prices near record highs with Bhutto assassination - December 28, 2007 15:08

Oil and gold prices both hover just below all time highs as of this morning (December 27), following the assassination of Pakistani opposition leader Benazir Bhutto.  As with any political assassination, unrest tends to have an impact on world pricing depending on the location and nature of the tragic event.

Is This Lack Of Worry Normal? - December 27, 2007 15:13

There can be little doubt that even as the stresses in the credit market have spilled over into other financial markets, the reaction of the public has been muted. In the UK, other than the collapse of Northern Rock hitting the headlines, the credit crunch has been largely ignored. In the US the picture is […]

New Year’s resolutions for US housing market - December 25, 2007 23:08

As 2007 comes to an end, many investors, home owners, and creditors in the US are hoping for a strong turnaround in housing and mortgages for 2008.  While there are still opportunities for the markets to extend their slumps into the New Year, there are some signs of hope and some reasons to believe the […]

Mortgage rates hold historic lows as foreclosures fall in November - December 21, 2007 11:24

According to Bankrate.com surveys, conventional 30-year and 15-year fixed mortgage loan rates remain near all time lows since average rate data was first collected (1985).  This week’s average 30-year fixed loan rate is 5.8%, virtually steady from last week, while the popular refinance loan, the 15-year fixed rate dropped three basis points from the prior […]

Credit Default Swaps – An Example In Real Time - December 20, 2007 9:43

In that almost mystical way in which co-incidence happens, a real time occurrence of the risks I outlined in A Beginners Guide To Credit Default Swaps has appeared. With excellent timing S&P downgraded the rating of ACA Capital Holdings Inc to CCC or, as it is known, junk. Whilst not a happy occurrence, it does […]

Oil still threatens $100, US government passes new fuel efficiency standards - December 19, 2007 9:58

An announcement this morning that Turkish soldiers went into northern Iraq to go after Kurdish rebels sparked a rise of nearly $2.00 in crude oil trade this morning (December 18), a 1.9% gain.  Crude oil has fallen back slightly after approaching $100 per barrel during November.

A Beginners Guide To Credit Default Swaps - December 18, 2007 9:34

We hear and see the alphabet of the derivatives world thrown around with gay abandon, like so much confetti at the Brides third (and definitely for the last time, she insists) wedding. Often the word “bond” is thrown into the mix, just to spice up the play, not unlike the bridesmaids, who at 2 and […]