|
PureBytes Links
Trading Reference Links
|
At 07:37 PM 12/9/2007, you wrote:
The problem is not a
few sub-prime borrowers being unable to refi homes which they should not
have purchased, the problem is that the credit markets are dysfunctional.
So what is the correct level for the S&P in your opinion?
Obviously, it isn't zero and equally obviously it isn't where we are now
so what is, (in your opinion), the correct index level for the current
conditions?
Second question: What do you believe needs to be done to cure the
problem? We are beginning to see the depth of the sub-prime problem
so that is coming into focus but what else needs to happen so the credit
markets can become functional again?
Last question: What do you see as the functionality problem with
the credit markets? Is it business capital availability or consumer
credit or both? Consumers have been living on credit cards for at
least 2 decades so there is nothing new there but they have less access
to additional mortgages due to falling property values. One of my
credit card companies just raised the credit limit on my account to
34,000 and I have no balance and have never asked for an increase so it
seems they aren't limiting anything to credit worthy customers.
Thanks for your time and insight Earl,
Bob
__._,_.___
![]()
__,_._,___
|