friday free fall, page-54

the financial crisis in the u.s. has already spread beyond sub-prime. long rates have been rising and also affects those on so-called a-grade loans that are coming off teaser rates. foreclosures have been rising dramatically over the last month (eg, i read somewhere recently that in detroit, foreclosures were up about 70% in july from june).

banks have also at the same time tightening its lending practices - so it also affects credit cards / consumer spending. and then there is also cdo crap that noone wants and those holding are wanting to dump.