Sunday, May 14, 2006

Distant Rumblings Ponder Possibility Of A Crash

Link To This Post.
Distant Rumblings Ponder Possibility Of A Crash.

This from, by Ambrose Evans-Pritchard:
Global markets are bracing for turmoil today after an ominous slide in the US dollar and a slump in equity and bond prices late last week sent tremors through the global financial system, evoking memories of the 1987 crash.

(CUT ...)

The bond slide is exacting a toll on the US property market, where the price of new homes has fallen for five consecutive months. A half-year inventory of unsold houses now hangs over the market.
This from The Independent, by Stephen King, managing director of economics at HSBC:
If, though, the economic data has been so benign, why are financial markets so nervous? My sense is that this anxiety recognises two truths: first, the economic challenges facing policymakers have got trickier in recent months and, second, markets are beginning to lose confidence in the ability of our policymakers to deal with these challenges.

-- The Boy in the Big Housing Bubble