plugger
I completely disagree with you, but only due to the amount of bad loans out there and the flow on affect it will have.
Money has been very easy to get a hold of, when that dries up, which it is doing rapidly, the consumer spending will dry up also, that will result in lower profits which will flow on to higher unemployment and the cycle continues on.
it'll take years, possibly several, for this part of the cycle to work its way through. Interest rates have not even peaked in all areas yet and even when they do, it'll take roughly 4 or 5 good drops and about 2 yrs for those drops to work their way through the economy.
Don't for a second think we've seen the worst of the subprime mortgage woes - we've actually only just seen the beginning.
My opinion is it will create a depression - since the 'great boom' is riding mostly on the wings of credit, that credit will have to be paid back, sooner or later - by someone.
- Forums
- ASX - By Stock
- XJO
- sunday subprime saviour meltdown
sunday subprime saviour meltdown, page-3
-
- There are more pages in this discussion • 34 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add XJO (ASX) to my watchlist
(20min delay)
|
|||||
Last
8,223.0 |
Change
35.600(0.43%) |
Mkt cap ! n/a |
Open | High | Low |
8,187.4 | 8,242.8 | 8,187.4 |
Featured News
XJO (ASX) Chart |
The Watchlist
RCE
RECCE PHARMACEUTICALS LTD
James Graham, MD & CEO
James Graham
MD & CEO
Previous Video
Next Video
SPONSORED BY The Market Online