Foreclosure Mess Under Review, Report Looms: Bernanke (CNBC.com) Fed Chairman Ben Bernanke announced today that federal banking regulators are currently investigating whether shortcuts were taken during home foreclosure procedures. Preliminary results are expected next month.
Existing-Home Sales Jump 10% But Market Remains Weak (CNBC.com) Some improvement was noted in September's existing home sales number. But Gary Shilling, president of A. Gary Shilling Investment Research Firm, was quoted as saying, "The number remains low, though it was higher than expected. But at these levels I'd say it's going nowhere."
He added: "Housing remains a troubled industry, and there's a huge excess inventory overhang. I don't think there's much optimism to take from this data, especially as we await additional foreclosures." And, in reference to just that issue, Lawrence Yun, chief economist for the National Association of Realtors, said there is still uncertainty regarding the "duration and impact of a foreclosure moratorium…"
Will Foreclosure Crisis Derail Any Recovery in Housing Market?(CNBC.com) The opinions are across the board on the issue: Some say it will merely prolong the agony (Greg McBride, senior financial analyst at Bankrate.com); others feel the damage will be offset by huge loan loss reserves (Joseph Lavorgna, US chief economist at Deutsche Bank); still others believe it portends darker times for the economy at large (Paul Dales, U.S. economist at Capital Economics).