US DOLAR INDEX CRACKING and ALT A LOANS

Currently AM 83.60
BDI at Resistance http://investmenttools.com/futures/bdi_baltic_dry_index.htm

Bank Stress tests that instead of market value for paper the BANK sets the value.....this is what was given to "regulators" to make their ASSumptions....thought you'd like to know.


ALT A LOANS
Subprime (bad credit mortgage) loans have certainly been generating a lot of attention, and worry, among investors, economists and regulators, but those loans may be only part of the threat posed to the housing market by risky lending.

Some experts in the field are now concerned about the so-called Alt-A mortgage loan market, which has grown even faster than the market for subprime mortgage loans to borrowers with less than top credit.

Alt-A refers to people with better credit scores (A-credit) who borrow with little or no verification of income - so-called alternative documentation.
But some people in the industry call them “stated income” loans, or worse, “liar loans.” And these almost no-doc loans were an important part of the record real estate boom of 2004 and 2005 that has recently shown signs of turning into a bust.

Standard & Poor’s estimates that the Alt-A market has gone from less than $20 billion in home loans in the fourth quarter of 2003 to more than $100 billion in each of the last three quarters.
Overall, new Alt-A mortgage transactions totaled $386 billion in 2006, according S&P’s estimates - up a drastic 28 percent from 2005.

By comparison, bad credit home loans reached a whopping $640 billion in 2006, according to trade publication Inside Mortgage Finance.

WE ARE BEING SET UP WITH STRESS TESTS AND GOV IS LOSING ALL CRED.

Beware ALT -A

Could it be we've just entered the second half of the credit crisis?
Just as 2008 was the year of subprime woes, this one will go down as the year of Option ARM resets (or adjustable rate mortgage resets). With billions in Option ARMs resets in 2009 and 2010, this crisis is about to unleash a fury no one's prepared for.
It won't be as bad as subprime, of course. It'll be worse.

WHat is ocurring now my friends is an attempt to use the MEDIA, propaganda, lies and misrepresentation and cheerleaders to PROP up the paper assets STOCK MKT and HOUSING........be careful out there.

D