[Marxism] More on the Housing crisis and the fall of the dollar

[Greg McDonald <sabocat59@xxxxxxx>]

Article published Dec 26, 2007
Blame abounds for housing bust
Washington Times


December 26, 2007

By Patrice Hill

This year's housing bust is shaping up to be one of historic  
proportions. Sales and construction have sunk to levels not seen  
since the 1990 savings and loan crisis, while foreclosures and price  
drops are the largest since the Great Depression — and expected to  
get worse next year.

Full: http://www.washingtontimes.com/apps/pbcs.dll/article?AID=/ 
20071226/BUSINESS/572777982/1001

  Reuters
Home prices post record annual drop
Wednesday December 26, 11:14 am ET
By Richard Leong

NEW YORK (Reuters) - Prices of existing U.S. single-family homes  
recorded their biggest annual drop in October, suggesting the housing  
slump is far from over, a national home price gauge released on  
Wednesday showed.

The Standard & Poor's/Case-Shiller year-over-year index of 10  
metropolitan areas fell to 209.68 in October, down 6.7 percent from a  
year earlier. The decline surpassed the 6.3 percent drop in April 1991.

Full: http://biz.yahoo.com/rb/071226/usa_economy_homesindex.html?.v=7

U.S. Dollar Falls as Housing Slump Deepens, Confidence Weakens

By Anchalee Worrachate and Kosuke Goto

Dec. 27 (Bloomberg) -- The dollar fell for a fifth day against the  
euro, its longest losing streak since October, on speculation U.S.  
reports on consumer confidence and home sales will spur the Federal  
Reserve to cut interest rates.

The U.S. currency declined against 12 of the 16 most-active  
currencies and weakened the most against the South African rand and  
the British pound. Economists forecast consumer confidence fell this  
month to a two-year low and home sales dropped in November. The Fed  
has cut its benchmark rate three times to 4.25 percent this year to  
prevent the worst housing slump in 16 years from tipping the economy  
into recession.

``We expect the dollar to continue to be undermined in the near- 
term,'' said Simon Derrick, London-based chief currency strategist at  
Bank of New York Mellon Corp. ``Headlines out of the U.S. remain  
mostly negative. House prices continue to fall, and data today is  
unlikely to change the perception that the U.S. economy is not doing  
well.''

The dollar traded at $1.4514 per euro as of 7:29 a.m. in New York,  
after falling to $1.4517, the lowest since Dec. 14, from $1.4489  
yesterday. The U.S. currency was at 114.61 yen from 114.34. The euro  
rose to 166.28 yen, from 165.68.

The dollar has dropped 10 percent against the euro in 2007, compared  
with last year's 10.2 percent loss. The U.S. currency will fall to  
$1.57 per euro by the end of March next year, Citigroup Inc., the  
largest U.S. bank, predicts.

Full: http://www.bloomberg.com/apps/news? 
pid=20601103&sid=acBpn3IWlOEA&refer=us
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