More From Davos With Love
Or why Real Estate can only go down in value from here and the economy is in deep trouble...
Merrill Lynch CEO John Thain:
"It's going to be a while before we see a return to normality in the banking and credit markets in the U.S.
The problems in the credit market are spreading, they are spreading to the consumer sector. We are likely to see another wave of problems on the consumer-credit side.
Rate cuts and fiscal stimulus will not help the fall in house prices, so this problem is likely to continue.
There will continue to be downward pressure on home prices. That will continue to put downward pressure on all mortgage-related securities."
Merrill Lynch CEO John Thain:
"It's going to be a while before we see a return to normality in the banking and credit markets in the U.S.
The problems in the credit market are spreading, they are spreading to the consumer sector. We are likely to see another wave of problems on the consumer-credit side.
Rate cuts and fiscal stimulus will not help the fall in house prices, so this problem is likely to continue.
There will continue to be downward pressure on home prices. That will continue to put downward pressure on all mortgage-related securities."
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