Tuesday, July 31, 2007

Quote of the Day

by Tanta on 7/31/2007 08:25:00 AM

Regarding American Home Mortgage's troubles:
To survive, American Home needs the secondary credit markets to stabilize, so the company can re-sell its loans for a profit. "They need it to happen very, very quickly," Miller says.
One wonders how quickly the credit markets will stabilize when players like AHM are reneging on dividends and halting trading and failing to cough up reports. I believe our broker brethren describe this as a "viscous cycle."