That light at the end of the tunnel...

New York City Housing Bubble has a great link which you can find here involving Peter Schiff, President of Euro Pacific Capital and Terri Campbell, Managing Director of Eastern Investment Advisors regarding the Fed rate cut and the future of the economy, specifically, the severity of the coming recession and it's duration. It runs 3:50 and it's a must watch, not only for Mr. Schiff's analysis of what did the housing market in, but what's in store for the next couple o' years. I wish I could say benignly that the glass is half empty and suffering the affects of evaporation, but man, not only is half empty, but it was engineered wrong with leakage at most important part: it's base. As Mr. Schiff points out, money was too easy to acquire, mortagages were made based upon the flimsiest "documentation" and then these loans were sold to the most gullible, when in fact that they should rejected them, prima facie (Asian Markets, Hedge Funds, Countrywide anyone?) As a Commercial Real Estate Appraiser here in lovely New York City, we're beginning to see a slow down in the market, both in the construction field and the purchase market. Williamsburg, Greenpoint, Park Slope and even Bushwick and Bed-Stuy(!) were hot markets earlier this year, but sales activity is starting to slow. An analysis done by New York magazine, lists the 'nabes that are in danger. Hop on over when you get a chance. Lastly, check out the Financial Times and there analysis of the dollar's weakness. Look, the Canadians have caught up with us, how bad is that?