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I less talk more about the market.
And our special guest today is a bond ending in chief investment officer at Greenwich wealth management.
First -- and of course editor of the force -- a situation survey do you power.
Well yes and we yeah seven.
You know we are offices didn't go out but a lot of the -- homes in the surrounding areas to go but a lot of Connecticut a Connecticut I think I don't worse this time -- then they got a very that I actually under the New York are working Connecticut on the New York sitting here saying no we made maintained our power.
Good for you I just lost it.
This morning -- as -- -- Yes I thought I Steve did and I guess I was too cocky and big.
All right so.
The market is down as -- as I think again because of this European mess you know -- G-20 going on right now we have the president speaking in hand I mean.
No one's making decisions -- we just have meetings and and and press conference.
Yeah actually for a few weeks now we've been noticing that the markets are reacting more to what's going on in Europe right and what's going on with Greece in particular.
Then what's happening in the United States I mean we we've actually had some fairly decent.
Economic numbers recently on what the markets don't care about that right now there really focused more on Europe we had a situation in Greece for example where they said.
On they would all hold irreparable first they agreed it through the austerity -- measures and they said they want to hold a referendum and and they -- the referendums out.
And this is just adding to the uncertainty in the confusion investors are reacting to the latest bit of news comes out of -- What do you worry -- -- you worry about Greece or are you worrying more about Italy -- you -- that Spain.
-- worry about all of them but not in -- Ways that many other people are worrying about the most people really focused on the banks.
And what this means for the banks -- well fall for example Greece or Italy or Spain were to default on some of -- that.
The immediate consequences would be for the banks all around the world.
Particularly in Europe and the US.
But what I'm noticing is that many non financial companies are actually getting hit by this too and that's completely unexpected.
-- -- What you know a lot of of American companies that do business in Europe on burned their profits in Europe and it becomes a US taxes those profits profits -- such a high rate if they -- the read to repatriate them.
They don't -- patriot and he leaned back in Europe and they invested in Europe and it turns out that many of these companies have been investing in that some from Greece.
That is -- point actually OK so let's bring this back at home now.
We have the worries of what's going on in Greece here we have jobs numbers that aren't alone -- out of -- -- by any stretch and that's mention you know there's still a lingering housing market.
So where we hear.
Well the job numbers are hard -- disappointing -- they should be stronger coming out of on the recession.
But they are on a positive trend in fact I think the big news today was was not the actual job figures for last month.
But the revision for August to write a fairly off fairly good revision so I think there is some evidence that the job market is strengthening obviously it's still -- too -- But it's strengthening also the GDP figure for last quarter was better than expense -- less than two and a half percent.
And I'm also getting you know so -- confidence from the housing market.
On the sales are still very weak but there is some evidence that prices are finally starting to stabilize and I think that's an important thing.
Of -- you know based on the last couple numbers it seems at this.
Year over year had home prices are still following that's true but if you look at month to month.
There are starting to stabilize and so -- -- are still down quite a big year over year but we're kind of reaching to a point where the comparisons are going to become.
Easier they're still very bad right if you look at the housing prices.
On from 2006 which was the peak there -- down tremendously.
Yet they're still -- approximately 3% on an annualized basis since 2000.
And that's right at the historic trend so we're we've now reached a point where housing prices are approximately where they should be.
So I think if you're thinking about buying a house now it's probably not a bad idea if you're planning to live minute and planning to hold it for at least -- -- Is really the from -- housing market -- you know everyone.
Even if you want to find house these days you worried that president to -- So why should I do anything when -- two months from now the price there has to be 20000 dollars cheaper well there -- a lot of -- Is that going to actually making a decision by -- house one of them is.
You have to compare the cost of owning for the cost of renting exactly and that's become more favorable lately because housing prices have come down so much and -- have actually gone off.
So again if you're if you're thinking about buying something and moving out a year or two from now I would say don't do it.
But if you're gonna live in it for five or six years I think it would make sense to two -- now.
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