NoFate

Friday's Outlook: Stick a Fork in Mr. Market

There is going to be $2-3 trillion in housing value that will go *poof!* in the next few years. Peoples LTV will be underwater and many will walk away? Do you have a clue what this will do to mortgage backed securities and bank margins?

Do you realize that an increase of >0.5% unemployment from the low has signaled a recession with 100% accuracy since WWII? The last report came in at 0.6%.

These are 2 of many indications that things are going to get rough. The signals are all around you, but you have to be willing to look and listen.

What will you do when you realize the analysts telling you recession is on the way are actually the smart guys in the room? How do you plan to get your principle back?