From yesterday’s Arizona Republic: [Thanks L!] Valley home prices continued their year-over-year plunge in April, dropping a record 18 percent as the impact of foreclosures and other economic factors exerted even greater influence, according to an ASU report issued Tuesday. The Arizona State University Repeat Sales Index, which tracks repeat same-home sales, reported an "off-the-cliff drop" in home prices due in large part to foreclosures, which made up 20 percent to 30 percent of all April home sales. ASU real estate professor Karl Guntermann, who compiled the report, said the continued rise in foreclosures was significant, but that gas prices…
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From our Commander-in-Chief this morning, speaking on the bailout, I mean assistance, for Fannie Mae and Freddie Mac: "I don’t think it’s a bailout," said Bush, deflecting some criticism that the government should not rescue a private firm. "The shareholders still own the company."

We were told in May that crisis was averted after the rescue of Bear Sterns.  Then yesterday crisis was averted again by the bailout of Freddie and Fannie.  Now we are hearing of rumblings of troubles in the Regional Banks: Stocks of regional banks plunged Monday, a sign that jittery investors fear that the mortgage meltdown could push more banks into failure. Washington Mutual (WM) led the sector’s decline, sinking 35% to close at $3.23 a share, after an analyst questioned the thrift’s financial viability. Investors also sold off other regional bank stocks, such as National City (NCC) of Cleveland….
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