Skip to comments.Can Wall Street withstand weak housing?
Posted on 09/20/2006 10:26:44 AM PDT by GodGunsGuts
Can Wall Street withstand weak housing?
Some experts say real estate slump may spell trouble for equities
By Peter Coy BusinessWeek Online
Updated: 1:28 p.m. PT Sept 19, 2006
If your nest egg is made of 2-by-4s and you're watching the real estate slowdown with a mixture of fear and nausea, then this article is for you.
The question: If real estate tanks, will stocks follow? Or will the market ignore housing? Or maybe just maybe will a decline in housing trigger a rise in stocks? It's something you really ought to think about if you're trying to figure out where to put your money.
(Excerpt) Read more at msnbc.msn.com ...
Wait, how bad can it be with the economy so good?
The answer is "yes."
Besides the housing stocks are already off by 25-to-30% since May 10th of this year.
It is usually best to buy when everyone is fearful, and to sell when everyone is greedy. Good advice, but hard to follow. :)
a big duh, yes.
I remember when people insisted OWNING was stupid when the market provided better returns. So the savy rented and put the money in stocks. When the market fell, they became the house flippers.
Meaningless fearmongering gobbletygook to get people to get hits on their site. "Is it good? Is it bad? Is it both?"
But this time it is different!
Interesting chart, more people but not much more land being made!
Thanks for posting this.
Of course, this Yale professor knows that the key word is "standard", which in the 50's and 60's meant one bathroom and maybe a one car garage, perhaps 1,200 square feet. But then his chart would not look like he wanted it to look.
Yes, it can.
Money that would of gone into buying property will go into securities investments.
LOL! You are kidding me right? LOL!
Wow. Great chart. Thanks--GGG
Be sure to read "Liar's Loans" which I posted a link to moments ago. Ya just won't believe how bad it really is.
Land availability is only one factor re: real estate. If land availability were the overriding issue in real estate, then Japan's RE market would have never collapsed.
Interesting you should pick Coolidge to quote.
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