Credit markets headed for best month

credit is tight - much better.

urbandigs,
The appetite for risk is increasing again. High yield markets are up over 9% this month, with the riskiest part (CCCs) up over 15%. That is definitely an improvement.

http://www.cnbc.com/id/26905693

yes credit is easing....

again, thx for the link js

Loan applications at lowest level since March

Home loan applications in the U.S. fell last week to their lowest level since mid-March as demand for refinancing dropped, according to Mortgage Bankers Association data released today. The low demand for loans is a particularly bad sign during the typically busy spring buying season, economists said. The average rate for a 30-year mortgage dropped 0.11 percentage points last week, to 4.52 percent, close to the record low of 4.61 for the week of March 27.

yep..however, i dont think its sustainable. hope im wrong.

credit markets are definitely doing better, but that will do nothing to help manhattan real estate over the next year. almost 1/3 of finance jobs are gone for now and most wont return because there are less banks. much of structured products which employed so many people...traders, lawyers, operations..are gone. entire banks are gone. existing ones are pretty much headcount frozen. this is a japan style real estate correction.

marco_m,
I do understand a lot of finance jobs are gone and are not coming back. But, do you have any concrete data to back your "1/3 finance jobs gone" claim. If you look at unemployment figures, it doesnt seem as severe. There is a lot of cash on the sidelines waiting to purchase manhattan real estate. The reason it is not happening is:
1. People are not confident about their futures and dont think it is wise to plunk down such a big investment into something they may have to turn around and sell.
2. The prices are going down and people do not want to catch a falling knife.

GS + MER + LEH + C + MS + JPM + BSC + CS + UBS = 9

MER, LEH and BSC are gone. Its actually more than a third if you look at all the Ibanks and all the layoffs theyve had.

where do you get your facts on the money that's waiting on the sidelines? pls keep in mind that basically no one got paid on the street this year. most comp was deferred comp. maybe a 1000 people got paid real money. Im talking about top performers, not junior shleps like myself.

I have at least 5 contacts at Lehman. All of them still have jobs. I think you need not engage in such hyperbole. We all know things are bad but not as bad as you make it out to be.

People got paid, just not as much as last year. If you make 25%-40% less than last year that is still a lot of money. And if the real estate is down 25%-40% you can basically afford the same apartment as last year.

I am merely stating the facts. How many law firms have had to downsize becuase of the demise of wall street? and dont tell me they all went into bankruptcy law. Believe it or not, Im an optimist and an all around happy guy. I work at bank that has done relatively well compared to our peers and Im just hoping to hold onto my job. The sun will come out again, that I know. But for manhattan real estate my friend, the party is over.

> I have at least 5 contacts at Lehman. All of them still have jobs.

Yes, 40% of the jobs were eliminated, and you're saying "all of them"... and others are doing hyperbole.

Uh, got it.