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Wednesday, April 29, 2009

Ranieri: Housing Is ‘Shouting Distance’ From Bottom

by Calculated Risk on 4/29/2009 03:55:00 PM

From Bloomberg: Lewis Ranieri Says Housing Is ‘Shouting Distance’ From Bottom

“I’m actually very enthusiastic about housing, and I haven’t said that in five years,’’ Ranieri said, speaking on a panel at the Milken Institute Global Conference in Beverly Hills, California. “We’re within shouting distance of a bottom.”
The article says Ranieri was talking about prices, but that isn't clear from the quote. He might be talking about residential investment. Prices will fall further ...

And a look at the markets ...

Stock Market Crashes Click on graph for larger image in new window.

The first graph is from Doug Short of (financial planner): "Four Bad Bears".

Note that the Great Depression crash is based on the DOW; the three others are for the S&P 500.

Stock Market Crashes Dow S&P500 NASDAQ Nikkei The second graph compares four significant bear markets: the Dow during the Great Depression, the NASDAQ, the Nikkei, and the current S&P 500.

See Doug's: "The Mega-Bear Quartet and L-Shaped Recoveries".