Archive for the ‘Economy’ Category

Consumer Confidence Down Again – About to Hit a New 10 Year Low – Lowest Confidence Recorded Since March ’09 – America Losing Heart, Giving Up Hope

August 4, 2011

Read about the capitulation of confidence at rasmussenreports.com.

Consumer confidence is down? Could it have anything to do with the fact that the economy is heading into a double dip recession?

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Housing Tax Credit an Utter Waste of $20+ Billion – We Told You So

July 13, 2011

Followers of Commercial Mortgage Loan Blog knew long ago that the housing tax credit was a dumb idea. We posted as much months and months ago. Now a study, by some academic types at Northwestern, have studied it and came to the same conclusion:

The housing tax credit:

  • Did not effect the overall number of houses sold.
  • Went mostly to healthy markets. And,
  • Revised to the mean when it expired.

Great, another $22B down the rat hole. Read Tax Prof’s post about the study here.

Fannie Mae; Scandal on a Monumental Scale – NY Times Op Ed and New Book Chronicle Massive Corruption

June 17, 2011

Fannie Mae, it turns out, is a bigger scam than Bernie Madoff could ever have dreamed of; a sad, expensive and disgusting example of corruption and cronyism that derailed the economy of our country. NY Times Op Ed columnist, David Brooks has penned an indispensible summery of an important and valuable book.

Read the Op Ed here. Get the book here.

Learn from history or be destine to repeat it.

Presidential Approval Chart: Obama About to Hit New Low

June 14, 2011

Rasmussen has Obama trending in the wrong direction. He is poised to hit his lowest populartity numbers ever and will achieve this historic milestone by the 4th of July if things keep going the way they’re going.

Obama about to make history: New Low

Read the details here: Daily Presidential Tracking Poll

UPDATE:   Gallup – Obama’s bin Laden Bounce Gone!

The Bounce Obama Enjoyed after the Killing of bin Laden has Dissappeared

Details Here: http://www.gallup.com/poll/148046/Obama-Approval-Rally-Largely.aspx

 

Credit Tenant Lease Loan Rates Down in Correlation with US Treasury Bonds – Rates in the 4%s or Lower for Best Tenants

June 13, 2011

US Treasury Bond rates have been trending down lately (See chart below).

As many of you know, credit tenant lease loans are priced based on an interpolated Treasury Bond yield plus a small margin spread. When T Bond rates go down CTL rates go down with them.

T Note Yield

10 Year US Treasury Note 6/13/11

Mortgage rates on buildings with the best tenants with long-term, NNN, NN or bondable leases are being priced in the mid 4% range (+/-) or even lower.

With the fed contemplating the end of QE2 and the credit worthiness of the USA continuing to deteriorate, rates are sure to start to rise sometime. Investors with single tenant, NNN assets leased to credit worthy tenants would do well to refinance (or buy more) now while rates are very reasonable. They won’t be forever.

Latest Round of Economic Numbers Tell us One Thing: We’re Lost

June 10, 2011

In the days before GPS navigators were omnipresent (just 36 months ago) people would get lost in strange cities and towns. Most of us know the feeling, that moment of realization when, from behind the wheel, you must admit to yourself and your spouse that you have not a clue where you are or how to get where you want to be.

The latest round of unemployment numbers and economic growth figures inspires the same kind of feeling. We’re lost, we are not making progress towards our destination and the driver is obstinately still claiming that he knows the way.

He doesn’t.

Read Help Wanted by the Editorial Staff at NRO

Jobs Chart tells Sad Story – Employment Fails to Respond to Stimulus Efforts – Weakest Recovery in History of USA

May 23, 2011

Employment Growth is too Slow

If this is a recovery who needs recessions?
The policies our leaders are implementing to fix our economic problems are not working!
We need to change course or we need to change leaders!

S&P Downgrades US Debt Outlook to Negative – Stocks, Markets Fall

April 18, 2011

Boomberg Businessweek is reporting that rating agency Standard & Poors has changed the sovereign credit outlook to “Negative” sighting the very real possibility of political gridlock over spending and the country’s debt ceiling.

Read and be afraid. Our skyrocketing debt levels and runaway spending are a very real and very troublesome problem. To lose our AAA rating would change the economic structure of the world, and not in a good way.

The time for half measures and business as usual is long over. Drastic action is now necessary. Are we a serious nation? Do we deserve a AAA credit rating? If so we must start acting like it.

Very Interesting Chart on Gas Prices – Bush vs Obama

March 17, 2011

Gas Prices Under President Bush and President Obama

Chart: Unemployment Then and Now; Obama vs Regan

October 14, 2010

Employment under Obama vs Regan from end of recession