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STOCK MARKET
THE MARKET
Wall Street has regained some ground since the December 2015 - January 2016 after posting a -1.34 Trillion Dollar Crash. From a low February 1, 2016, the market bowed downward into January's levels and ended up down -129.43 on February 29, 2016 in lack luster trading.
GOVERNMENT
The Federal Reserve Board isn't sure that the current Market Crash, worse than 2009 and similar Depressionary Inflation figures to 2009 is going to effect the economy.
STOCK MARKET
In September 2015 Wall Street indicated that investors could expect a 7.0% annual gain for 2016. Currently they are at a 3 Month -7.20%
a Year To Date - 5.21% and for the last 1 Year -8.91% Yield or Rate Of Return on the investment.
A FUTURE FINANCIAL OUTLOOK
Wall Street is no place to play today unless you have money to loose. There is no economic security with the investment.
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ANALYSIS
Based on a 3.5% Benchmark
USA INFLATION RATES RECENT YEARS
2012 + 2.1% (Shortfall -1.4%)
2013 + 1.5% (Shortfall -2.0%)
2014 + 1.6% (Shortfall -1.9%)
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USA INFLATION RATE HISTORY
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0.12 % Average - Obama
3.39 % Average - Bush
2.81 % Average - Clinton
3.55 % Average - Reagan
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2015
2005
1995
1985
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REAL ESTATE FUTURES
The Real Estate Retail Purchase market will ease with interest rates rising. This is because fewer Home owners qualify for the additional financing needed to move up.
THE BUBBLE
The Stock Market was influencial in the 2008 Real Estate Crash by bringing in their own Mortgage Backed Securties Underwriting Guidelines.
The Stock Markets investment speculations again appear to be inaccurate for future stable growth in America and the Euro markets..
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| RED = WORSE |
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INFLATION RATE COMPARISON
2015 AVE + 0.12
2009 AVE - 0.34
2008 AVE + 3.85
2000 AVE. + 3.38
Note: Red indicates Deflation
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For Job Growth and Productivity America needs to maintian a +3.50% Inflation Rate average.
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| Home Loan |
Wholesale |
Retail Rate |
| 30/30 -417K |
3.62 % v |
4.125 % v |
| 5/25 -417K |
2.79 % v |
3.250 % v |
| 15/15 -417K |
2.93 % v |
3.375 % v |
| 30/30 +418K |
3.79 % v |
4.375 % v |
| Commercial |
0 Points ^ |
Retail |
| 7/20 Yr. 6M |
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6.020 % v |
| Prime Rate |
3.50 % |
unchanged |
| 0 Point Rates |
Actual |
Estimated |
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INTEREST RATES
Speculation: Interest Rates are not being driven by the US economy. In 2008 Fannie Mae and Freddie Mac were put in conservatorship by the US Government.
The bailout for the two mortgage lending giants was under 1 Trillion Dollars in 2009. Since then, the Mortgage Banks could have been released from the conservatorship, but have not.
Mortage rates today are fluating still at the lower levels only because they are under US government control not because of the US economy.
The new Democratic Appointee Chairman Janet Yellen has expressed, she does not think that the Prime Interest Rate will go down.
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