Wednesday, October 18, 2006

"The worst may be behind us."

More housing industry lackeys voicing their hopes after a housing starts blipped up in September. They are still down 18% from last year. And permits for future building are really down. Permits are considered a real leading indicator of housing and the economy in general. This is the article I saw on MarketWatch.
On other news core inflation inched up last month but is up a lot (2.9%) since last year. The Fed don't like that. On top of this you can be sure gas prices will be heading up after this pre-election relief. Look for more out-of-control inflation next year and as a result even higher interest rates.

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