In case you are not worrying yet, here’s that arm of the vast right wing conspiracy, the LA Times: Interest rates soar on jobs data, putting housing at risk Housing, and everything else:
The Treasury bond market is in cardiac arrest today over the May employment report: Yields are soaring, dealing another blow to investors who’ve been hiding out in government bonds — and threatening another big jump in mortgage rates.
If rising home loan rates price more buyers out of the market, sellers will have to respond by cutting asking prices. Anyone have a better idea?
The 10-year T-note yield has surged to 3.84% from 3.71% on Thursday. The 2-year T-note has rocketed to 1.25% from 0.96%. Yields now are the highest since mid-November.
Older bonds issued at lower rates lose value with every tick higher in market yields.
By the way, we’re talking about the worst unemployment rate in a quarter century.
And the media’s looking at a bright side?
The media understands, I think, that it has bet the ranch on Obama. Their fates are now intertwined. Obama is, far more than GM, too big to fail.
And they will continue with the bailouts and emergency political capital infusions for as long as their credit — their credibility — allows.
And the result? Let’s look at the Obamanomics Graph of the Day:
For hard-of-comprehension lefties, the three lines are:
* “With Recovery Plan” — What the Obama administration claimed would happen to the unemployment rate if the so-called, misnamed economic “stimulus package,” the one that nobody had the time to read, passed.
* “Without Recovery Plan” — What the Obama administration claimed would happen to the unemployment rate if the so-called, misnamed economic “stimulus package,” the one that nobody had the time to read, didn’t pass.
* March ‘09, April ‘09, and May ‘09 dots — What has really happened to the unemployment rate since the so-called, misnamed economic “stimulus package,” the one that nobody had the time to read, passed.
The three dots mean that things are not only worse than Obama predicted if the plan passed, but they are worse than Obama predicted if the plan didn’t pass. Three months in, it has become pretty close to conclusively clear that we would have been better off if we had done nothing.
To put it in plain English, this is a disaster. And it’s going to get worse: Taxes Send Jobs Offshore.
But look at the bright side, at least you’re not a GM stockholder. Or are you?
How’s that hope and change going for you?