It’s coming. I’m sure that by now, everyone who reads internet news sites has seen the story about France’s largest bank by market value, who announced today that one of its units was suspending three of its asset-backed securities funds, saying it could not value them accurately because of problems in the U.S. subprime mortgage market.
Today, the Dow dropped 387 points due directly to the this big, credit problem that is looming over these bubble markets.
It’s not going to get better over-night……………..My opinion is that it’s going to go further & further down in chunks for the next three to five years before it stabilizes. I know that I won’t be buying any real estate in any of the bubble markets until I am convinced that the mud on the bottom has settled.
