Good article in the New York Times about the rampant mortgage lending that is going on in the country. I'm guessing that this predatory lending that is happening will be the downfall of our economy, even though banks have taken steps since the S&L days to hedge their positions, there's inherent weakness and someone will pay the cost, probably consumers first and then ultimately the banks.
NPR was just doing a story on people who are participating in real estate investment clubs. They interviewed a guy in Las Vegas and asked him if he was wary of the risks. He said no, that he listens to what the brokers and real estate professionals tell him and they tell him everything is ok so he invests with confidence. Um, of course a real estate professional is going to give the most rosey scenario, just like a shopkeeper tells you look great in those jeans that accentuate your fat rolls.
The Dow stands at 10614. I'm betting that from this point onward we won't go back to this high of a number. It's all downhill from here.
