Posted on 07/24/2009 8:46:57 PM PDT by george76
Delinquencies on commercial mortgage backed securities soared $10 billion in June, hitting a 12-month high of almost $29 billion...
California led the nation with the highest amount of delinquent loans, closely followed by Texas and Florida.
Late loans across the country are up an “astounding” 585 percent from a year ago when just $4 billion were delinquent...
California with almost $3 billion in delinquent loans, or 10 percent of the exposure, and Texas with $2.5 billion, or 9 percent of all delinquencies, "remain a major concern." In California, the delinquent properties are spread across the state, compared to Texas where the problems are located mainly in Dallas-Fort Worth.
The other states among the top 10 are Michigan, Arizona, New York, Georgia, Hawaii, Nevada and Illinois.
(Excerpt) Read more at bizjournals.com ...
This is bad.
The market is rallying because Obama's poll numbers are going down, health care reform looks like it is going down and cap and trade may be going down.
Commercial lenders have been tightening up for awhile including no cash out regardless of loan-to-value for most.
Really? The Goldman Sachs markets have been rallying since mid March when the socialist poll numbers were high.
His health care program is a pack of lies put together by idiots. Congressional aides with the brain power of snails wrote that pile of shi'ite up. Or they just gave the lobbies for the drug companies, AMA, hospitals and HMOs a free hand.
Looks terrible from Main Street.
The SP looks like another bubble .
“They want total control of the economy”
They pretty much do.
EXACTLY
Holy moly!
“The SP looks like another bubble”
It does, but most of my trader buds who were short this past week got seriously hammered. I think we see a decline into the fall, but timing, and deciding from where such a decline might start, is always the conundrum. Earnings, supposedly “impressive”, have been measured against expectations that were literally buried in the ground. Most folks I know who are market savvy are quite baffled, I don’t mind telling you. That includes me. It’s almost as if the market is saying “hey, recessions historically last 18 months, and this one must be just about over.” Just by the passge of those 18 or so months. Despite being the worst since GD1 [it was 25-26 years until 1954 that the DJIA regained its 1929 level] and all that toxic debt which has been simply shoved into some cave somewhere, and lending which has been crushed, and the consumer whose jobs are draining away, and all the stock dilution, and the now prime defaults coming down the road which ANYONE can see...none of that matters.
It’s also possible that the market is anticipating BOTH Gov’t healthcare AND cap & trade failing, but I do not regard (the failure of) either of those as healthy bets at this juncture. It’s darn likely that ONE of them will pass, and either one, never mind both, are minimally economy-roilers if not economy killers. Though maybe the market sees dumping corporate health care plans onto the govt as a great boon to profits.
As I said, color me deeply confused.
The socialized medicine is going to be paid by massive new taxes imposed on corporation and individuals and companies are not going to make any profit by dumping their employees insurance plans because they are going to pay more in taxes to pay for the socialized medicine.
Art Cashin is confused too.
He is even talking about astrology to try to explain this strength.
I used to worry about the complications of social security going upside down in 2017.
I do not worry about 2017 anymore.
Heck, it’s the new economy. No sense in bitching about it. We don’t make “things” anymore, we make money. Be one of the money makers.
Going to Galt’s gulch is looking better every day.
Yes indeed.
“The socialized medicine is going to be paid by massive new taxes imposed on corporation and individuals and companies are not going to make any profit by dumping their employees insurance plans because they are going to pay more in taxes to pay for the socialized medicine.”
I don’t think ‘anyone’ can predict the future, especially in this environment. We don’t really know the details of these plans, nor do we know if they will become enacted. I am no more of a fan of govt health care than you are, I suspect. Without advocating it is as “the” or even as a possible truth, I was just trying to explain one line of perversely bullish market psychology, just tossing it out there. I’m agnostic on the market at this point, but it sure seems to want to rally. Why, I have no clue.
There’s a ready that “stock market” and “economy” are two different words. The market’s rise may simple be attributed to factoring in anticipated future devaluation of the dollar.
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