Friday, May 04, 2007

The Housing Market Follows the Stock Market?

This was a little chart I picked up recently. I extrapolated it a little further for I had not the time to track down both data series.

Something tells me with GDP slowing down, sales at corporate America are going to stagnate and we're going to have a little correction in the stock markets as well as the housing markets.

And you know whose to blame for all this?

That damn George Bush.

1 comment:

Anonymous said...

They are related to each other in that as the Stock market starts to weaken in performance, the money than tends to be invested into the Bond Market (10Year T-Bill). The mortgage interest rates are based off the 10 Year T-Bill, not the prime interst rate... ...unless of course you got an ARM or Interest only Sub-Prime mortgage.. Then who knows what the interest rate is benchmarked from...