November 20, 2008
November 20, 2008 by admin
The stock market continued an ugly deterioration of wealth as it broke firmly below 8,000 on Thursday. Globally stocks have fallen sharply as investors have moved into a panic that the global economic meltdown is going to last well into 2009. Almost all recent economic reports indicate that the economy is falling harder and faster than even some of the most pessimistic economists had predicted.
Some of the worlds largest companies including Citi, Dow Chemical, Berkshire Hathaway have seen their stock prices get beat down to historically low levels. The yield on the ten year bond eclipsed 3.15%, the lowest level of the decade. This sharp declines is good news to home owners who may be considering refinancing their mortgage as fixed rate home loans are now closing in below six percent. It’s hard to imagine the rapid decline in the stock market will do anything but slow down home buying as consumer confidence is plunging.