Name:	lucky67 -	Reply
Subject:	Economy
Date:	3/17/2015 10:17:26 AM

Housing starts down 17%--lowest in 4 years--oil below $50--home buyers can barely qualify for a 4% loan--/BUT some FED members pushing for rate increase ?????

Name:	Talullahhound -	Reply
Subject:	Economy
Date:	3/17/2015 10:30:32 AM

Didn't someone on here just post complaining about lenders starting sub-prime mortagages again? And I have been reading that interest rates for home loans is down again.  And you can blame the Saudis for the cheap oil prices.  There have been rumors for months now that the fed will raise rates, but they haven't done it yet.

Name:	lucky67 -	Reply
Subject:	Economy
Date:	3/17/2015 2:56:12 PM

I posted a comment (not a complaint--its fact)  about subprime lenders coming back--its a fact--lots of the ones who got borrowers in trouble 1st go around  just changed company names--I know--I do Financial fraud investigative  work; giving 1 month adjustable loans with no caps to borrowers with low credit scores is abomnible & greedy--just asking for future trouble for the homeowners & housing market

Name:	MartiniMan -	Reply
Subject:	Economy
Date:	3/17/2015 3:29:32 PM

I am hoping the housing starts number is a result of the weather and not a trend.  As for the Fed, so far there are a lot of mixed signals on the strength of the economy.  Employment is better (even with the phony U2) although the quality of new jobs is suspect but a number of other indicators are mixed to negative.  Since there is no indication of inflation and assuming the indicators are mixed I can see the Fed holding off in the short term.  But at some point the rates are going to rise.  That is 100% certain.  And when they do there will be a 20%-30% correction in the stock market.  

Just spent some time with a major oil company client and they are of the opinon low oil prices will not be a long term thing.  Despite that they are shedding employees, slashing CapEX and OpEx spending, etc.  Down from 15 rigs to 7 in the Bakken, cut their rig count in the Gulf and have stopped exploration in the Permian basin (west Texas).  They are not alone as all the other big oil companies are likewise slashing and burning.  Back to reality for the oil industry for a ittle while anyway.  But lower oil prices really helps consumer spending, which is 2/3rds of our GDP. 

Name:	Talullahhound -	Reply
Subject:	Economy
Date:	3/17/2015 8:25:07 PM

Ok, that's what I thought I read.  So how is it that people aren't qualifying for a 4% loan.  Doesn't the subprime market take care of them?

I happen to agree with you that the subprime market will only get us in trouble again. 

Name:	GoneFishin -	Reply
Subject:	Sub Prime
Date:	3/17/2015 9:04:34 PM

I assume the money is not coming from banks. Is Fan or Fred insuring them? Who is  financing them?

Name:	MartiniMan -	Reply
Subject:	Sub Prime
Date:	3/18/2015 9:47:55 AM

You are correct.  Fannie and Freddie are back to their usual market distortions by purchasing subprime loans.