I won’t pretend to have the expertise of Tanta at Calculated Risk on the subject, but I do regularly check the ABX index to watch how it is performing. Last night I pulled it up and thought I detected a new trend in the AA:
Just my opinion- but I don’t think it’s supposed to do that. And uh- isn’t AA prime?
Nothing is wrong, move along. I fear the contagion is coming to other sectors.
BTW I have been in Moab for 3 days. I hear Phoenix is way hotter than the 106 degrees I experienced yesterday. Corona Arch was spectacular.
Uh, nope. It ain’t supposed to look like that.
The BBB stuff was doing this back in Feb when they were telling us how the problems in subprime would stay contained within subprime.
Apparently the containment is spreading.
Twist – Check out my most recent post on Housing Wire. S&P is hitting the subprime RMBS/CDO market hard, and you probably got an early taste, since markets probably got wind of this yesterday.
http://www.housingwire.com/2007/07/10/subprime-rmbs-cdo-markets-on-notice-sp-warns-of-wide-scale-downgrades/
Cheers.
Housingguy-
CNBC just announced that Moody’s is reviewing 30+ securities for downgrade, and put the following alert on their homepage:
So S&P is not alone.
“Captain, I canna hold her any longer, the core is about to breach!” – Montgomery Scott
Only 30+ securities?
I just want to say, in the context of the 4th of July post by twist, I seriously and fervently hope that officials at Moody’s, S&P, Fitch, and wherever else appropriate, feel their responsibility to DISPASSIONATELY ANALYZE RISK FOR THE LONG-TERM BENEFIT OF THE UNITED STATES AND ITS CITIZENS.
Agnostic-
Sorry- I left out that they downgraded 399 and have 32 under review.
Ouch.
That is probably what housing prices and sales numbers will look like soon.
However it also looks alot like the chimp’s approval rating.
twist -
Maybe time for an update. AAA – about 95, AA – about 88. Looks like carnage from here