Did Bernanke kill housing recovery?

Rambo35

Confirmed PaxForex Representative
Apr 22, 2013
909
24
32
Canada
Last week’s Fed meeting left a rather big impact on financial markets. Bernanke somewhat fumbled the ball a few times and while the USD has rallied slightly for a few days, interest rates have been surging which continues to mortgage rates and could dampen the housing recovery which many have accredited with stronger equity markets together with QE.

While stronger interest rates and a potential QE exit act as positive factors for the USD, an overall weak economy will counter those impacts and a declining housing market may initiate much weaker economic data going forward which will pressure the Fed to remain committed to QE which will act negative on the USD.

It may be me, but it appears that the USD is doomed either way you look at it given the massive twin deficit which continues to grow as nobody cares about it until it is too late. The USD is the most government manipulated currency and those who believe Bernanke that the Fed is independent should really conduct a reality check. The good news is that Bernanke is essentially out as he got fired in a nice way; Janet Yellen next?
 

BoroVai

Trader
May 25, 2013
16
0
17
That's the question Wall Street and Main Street have been contemplating this week after another spike in interest rates.
Stan Humphries, chief economist at Zillow, has a ready answer: No. "I think Bernanke's right, the housing market is strong enough to stand on its own feet." Humphries also tells Aaron Task of The Daily Ticker that homes are going to get more expensive, as financing costs go up.

However, Bernanke's signal on Wednesday that the Fed's aggressive monetary easing is at the beginning of the end will get people off the fence to give a "momentary spurt" to the housing market, says Humphries. He explains that a small fraction of buyers won't want to miss the chance to buy homes for less while 30-year fixed mortgage rates are roughly 4%.
 

Rambo35

Confirmed PaxForex Representative
Apr 22, 2013
909
24
32
Canada
That's the question Wall Street and Main Street have been contemplating this week after another spike in interest rates.
Stan Humphries, chief economist at Zillow, has a ready answer: No. "I think Bernanke's right, the housing market is strong enough to stand on its own feet." Humphries also tells Aaron Task of The Daily Ticker that homes are going to get more expensive, as financing costs go up.

However, Bernanke's signal on Wednesday that the Fed's aggressive monetary easing is at the beginning of the end will get people off the fence to give a "momentary spurt" to the housing market, says Humphries. He explains that a small fraction of buyers won't want to miss the chance to buy homes for less while 30-year fixed mortgage rates are roughly 4%.

I think Humphries is as wrong as Bernanke.
 

fideliscm

Trader
Nov 14, 2013
3
0
17
Cyprus
www.fideliscm.com
That's the question Wall Street and Main Street have been contemplating this week after another spike in interest rates.
Stan Humphries, chief economist at Zillow, has a ready answer: No. "I think Bernanke's right, the housing market is strong enough to stand on its own feet." Humphries also tells Aaron Task of The Daily Ticker that homes are going to get more expensive, as financing costs go up.

However, Bernanke's signal on Wednesday that the Fed's aggressive monetary easing is at the beginning of the end will get people off the fence to give a "momentary spurt" to the housing market, says Humphries. He explains that a small fraction of buyers won't want to miss the chance to buy homes for less while 30-year fixed mortgage rates are roughly 4%.

I'm just new to housing marketing still I like your points and hope you'll come back soon with more updates. I'll be in your touch till your next updates.