Greenspan: Housing Could Go Further Into Shitter

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Greenspan: Housing Could Go Further Into Shitter

Aug 2, 2009 8 Comments ›› Pat Dollard

WASHINGTON (Reuters) – Former Fed Chairman Alan Greenspan said on Sunday that signs of stabilization and increased confidence in the economy could be dashed if home prices were to take another turn downward.

Greenspan told ABC’s “This Week With George Stephanopoulos” that he didn’t believe that a steep drop was in store, but home prices had stabilized only temporarily.

“It is possible that could get a second wave down,” Greenspan said. “Under those conditions, we would get a very significant change in the underlying confidence in the consumer area,” as foreclosures rise and more home values fall below their mortgage levels.

(Reporting by David Lawder)

Sully

I want to know why he called off the dogs (bank regulators) when they expressed concerns about banks of ALL kinds being leveraged at 40+ to 1 on high risk financial derivatives.
Georgie ain’t gonna ask and Alan won’t respond to my emails.

I already know the answer. I just want someone to choke it out of him.
Y’all do know that Andrea Mitchell is his husband right?
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Scoot

Does anyone else think we are being set up big time?

All the leftys on newsvine are talking about right wing extremists again, along with taxes being raised, new HIV strain in Africa, new plague in China, dumbass people trading in perfectly good cars letting the government take over their computers, probably won’t get the loans because credit is locked down, traded in car destroyed, $4500 vouchers not being issued any more, dealers not getting the money from the government, and now this bullshit.

Is there anything else I missed?

Oh yeah, the Palin divorce lie.

Scoot

Isn’t the swine flu about to hit, and our government doesn’t have enough vaccinations for everyone (not that I’ll be getting one).
TerryTate

Yes Scoot,

The public is oblivious to what is coming.

I work in the construction industry and I have been trying to tell anyone that will listen that we haven’t seen the other shoe drop yet.

What is the other shoe?

It’s the second wave of foreclosures, short sales and personal bankruptcies that began over the summer and should start to be emerging in the financials by October.

Basically, it’s the middle class that owned businesses and such that have gone under.

The first wave were the lower income brackets, now it will be the middle to middle-high income brackets that will be showing up as their businesses and such went under once the buyers disappeared.

Gird your loins folks, your government has been lying to you.

Professor Bill

This is from the guy who helped put the economy into the shitter with extreme tinkering and experimentation with the fed rate. But remember the fed is a private institution and we are just slaves in the machine.
Scoot

Oh, and there is this:

http://www.independent.co.uk/news/science/warning-oil-supplies-are-running-out-fast-1766585.html

Warning: Oil supplies are running out fast

Catastrophic shortfalls threaten economic recovery, says world’s top energy economist

“The world is heading for a catastrophic energy crunch that could cripple a global economic recovery because most of the major oil fields in the world have passed their peak production, a leading energy economist has warned.

Higher oil prices brought on by a rapid increase in demand and a stagnation, or even decline, in supply could blow any recovery off course, said Dr Fatih Birol, the chief economist at the respected International Energy Agency (IEA) in Paris, which is charged with the task of assessing future energy supplies by OECD countries.