Well, I've said for weeks that I think we are in a recession. This morning Goldman Sacks agreed. They feel that the GDP will continue to fall during the First and Second Quarter of 2008 - forcing the Fed to lower it's rates by 1.75%.
Could COUNTRYWIDE be to blame for this?? Well, according to CNBC:
"Shares at Countrywide Financial [CFC 5.16 -0.31 (-5.67%) ] , the largest mortgage lender, fell 27.4 percent Tuesday on an rumor the company denied that it was facing bankruptcy. Early today, the company said its mortgage funding was up 1 percent in December and its mortgage loan servicing portfolio rose to 41.48 billion as homeowners prepaid fewer loans. Despite news that was encouraged as positive premarket, Countrywide shares tumbled even further after the market opened today."
That's right - COUNTRYWIDE is trading at 5.16!
I also found it interesting that the THIRD Economic STORY today says
"U.K. markets down 1.5 percent on disappointing results from retailer Marks & Spencer (down 20 percent in the U.K.) and vague concerns that the U.S. slowdown may be spreading to Europe. Yesterday a confluence of events, including comments from AT&T [T 38.59 -0.57 (-1.46%) ] about slowing consumer business, and poor commentary from Circuit City [CC 4.11 -0.19 (-4.42%) ] and Brinker [EAT 16.13 -0.02 (-0.12%) , added to the poor sentiment. "
OKAY SO WHAT DOES THIS MEAN TO YOU???
Well if you know anyone interested in buying, selling or refinancing - now is the time to act! As quickly as rates are going down - it would only take one or two days of POSITIVE NEWS to wipe out all of the gains we've made - so my advice??? ACT NOW! The fickle pickle market that thinks THE SKY IS FALLING - could change it's mind tommorrow!