If you're a cork dork (wine geek) like me, or just interested in knowing more about wine, Gary is the best to learn from. And he has some pretty funny videos on his site...
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Hello world!
3 years ago
Saturday, September 20, 2008
Thursday, September 18, 2008
Financial Market Turmoil - Is the sky really falling?
Pretty good summary of yesterday's events. Read on...
Good evening. We just experienced one of the most remarkable days in the history of the financial markets. While the 449-point decline of the Dow made headlines, the real story of the day was that bank lending seized up. Today’s events are truly astounding:
The Fed famously left the “target” Fed funds rate at 2.00% on Tuesday (The Fed funds rate is the rate at which banks lend to one another). Today in the real world, Fed funds were trading between 6.00% and 8.00%. That means, in the words of one bank CFO, “We’re not lending our money to anybody, even if they are a bank.”
90-day Treasury bills had one of their biggest volume days ever. The yield they were offering? 0.02%. That’s right. Investors were willing to accept 0.02% to park their money in a safe place for 90 days. That’s the lowest yield since World War II.
Swap spreads (the difference between LIBOR and Treasury yields) gapped out. Two-year LIBOR ended the day 1.30% higher than two-year Treasury yields. In 2006, that spread was 0.20%. Spreads are more than 50% higher than the highest levels ever seen. Ever in the history of swap spreads. Today’s move was the biggest in ten years.
All 86 members of the S&P 500 Financials Index declined. The Index fell 8.9% overall and option prices soared to record levels. Goldman Sachs (-14%) and Morgan Stanley (-24%), the only remaining independent brokerages on Wall Street, plunged the most ever.
Russia halted stock trading for a second day and poured $44 billion into its three biggest banks in a bid to halt the worst financial crisis in a decade.
Corporate debt yields rose more than they did during the stock market crash of 1987.
Gold posted it largest one-day price increase in history, reflecting investors’ panic, and their desire for any safe place to hold their wealth.
Fortunately, after a very rough start, mortgages closed the day at higher prices. Liquidity remains very strong in the conforming and government mortgage markets.
Mandatory mortgage trade prices are more than 50bps higher than best efforts prices, near the widest spreads that we have ever seen.
The spread between mortgage and Treasury yields had a wild day. This morning, mortgage yields rose 0.30% more than Treasury yields, but a bid came in to the mortgage market late in the day, and spreads closed the day mostly unchanged at 2.60%. Mortgage rates are low, and lock volume is very strong. Maybe we’ll have a refinance boom after all.
Experts say we're going through what's known as a lock, stock and barrel financial phase. You know what that is, and how that works? People are locked out of their homes, their stocks are worthless, and the oil companies have us over a barrel. That's how it works. -- Jay Leno
Thanks for your business. -- Tom Millon
About Capital Markets CooperativeCapital Markets Cooperative (CMC) provides mortgage bankers with the economies of scale and the expertise to reduce risk and maximize profit in the secondary market. Regarded as the premier secondary marketing specialist in the industry, CMC has worked with financial institutions nationwide to break traditional barriers in capital markets and take performance and profits to the next level. To date, CMC executives have managed more than $500 billion of mortgage volume. CMC board members are Tom Millon, Jeff Harry, and Harold Koegler. For more information about Capital Markets Cooperative, visit www.capmkts.org or call 904.543.0052 or e-mail info@capmkts.org.
Social BookmarkingGood evening. We just experienced one of the most remarkable days in the history of the financial markets. While the 449-point decline of the Dow made headlines, the real story of the day was that bank lending seized up. Today’s events are truly astounding:
The Fed famously left the “target” Fed funds rate at 2.00% on Tuesday (The Fed funds rate is the rate at which banks lend to one another). Today in the real world, Fed funds were trading between 6.00% and 8.00%. That means, in the words of one bank CFO, “We’re not lending our money to anybody, even if they are a bank.”
90-day Treasury bills had one of their biggest volume days ever. The yield they were offering? 0.02%. That’s right. Investors were willing to accept 0.02% to park their money in a safe place for 90 days. That’s the lowest yield since World War II.
Swap spreads (the difference between LIBOR and Treasury yields) gapped out. Two-year LIBOR ended the day 1.30% higher than two-year Treasury yields. In 2006, that spread was 0.20%. Spreads are more than 50% higher than the highest levels ever seen. Ever in the history of swap spreads. Today’s move was the biggest in ten years.
All 86 members of the S&P 500 Financials Index declined. The Index fell 8.9% overall and option prices soared to record levels. Goldman Sachs (-14%) and Morgan Stanley (-24%), the only remaining independent brokerages on Wall Street, plunged the most ever.
Russia halted stock trading for a second day and poured $44 billion into its three biggest banks in a bid to halt the worst financial crisis in a decade.
Corporate debt yields rose more than they did during the stock market crash of 1987.
Gold posted it largest one-day price increase in history, reflecting investors’ panic, and their desire for any safe place to hold their wealth.
Fortunately, after a very rough start, mortgages closed the day at higher prices. Liquidity remains very strong in the conforming and government mortgage markets.
Mandatory mortgage trade prices are more than 50bps higher than best efforts prices, near the widest spreads that we have ever seen.
The spread between mortgage and Treasury yields had a wild day. This morning, mortgage yields rose 0.30% more than Treasury yields, but a bid came in to the mortgage market late in the day, and spreads closed the day mostly unchanged at 2.60%. Mortgage rates are low, and lock volume is very strong. Maybe we’ll have a refinance boom after all.
Experts say we're going through what's known as a lock, stock and barrel financial phase. You know what that is, and how that works? People are locked out of their homes, their stocks are worthless, and the oil companies have us over a barrel. That's how it works. -- Jay Leno
Thanks for your business. -- Tom Millon
About Capital Markets CooperativeCapital Markets Cooperative (CMC) provides mortgage bankers with the economies of scale and the expertise to reduce risk and maximize profit in the secondary market. Regarded as the premier secondary marketing specialist in the industry, CMC has worked with financial institutions nationwide to break traditional barriers in capital markets and take performance and profits to the next level. To date, CMC executives have managed more than $500 billion of mortgage volume. CMC board members are Tom Millon, Jeff Harry, and Harold Koegler. For more information about Capital Markets Cooperative, visit www.capmkts.org or call 904.543.0052 or e-mail info@capmkts.org.
Friday, September 12, 2008
See us featured in Florida Realtor Magazine!
We were fortunate and honored to have been chosen by FAR for a makeover to our blog. Amy Chorew is passionate, excited and knowledgeable. She was a perfect coach and is an invaluable resource for anyone in our business! Thanks Amy! And thanks also to Leslie Stone from Florida Realtor Magazine for making it happen!
Monday, September 8, 2008
She without arm, he without leg - ballet - Hand in Hand
One of the most inspiring and motivational videos you will ever see!
Social Bookmarking
Wednesday, August 27, 2008
Del Vecchio's - A Great Place to Eat!
Six of us had dinner there last Saturday night, and I have to say that it was spectacular! The menu is heavy on Sicilian and Napolitano comfort food and very well done. The owners, Lou and Belinda Del Vecchio, were ever present, as was the well known Chef Luciano Balzano.
We started with a selection of appetizers and two of them stood out as clear winners. The Clams Oreganato were so fresh and delicate they melted in your mouth like cotton candy. And everyone was using the fresh baked bread to sop up all of the herb garlic oil in the bottom of the serving dish! And Lou's grandmother's meatball and sauce recipe was a crowd pleaser.
Then the Chef sent out a complimentary dish of a new item that he is thinking about adding to the menu. Al dente pappardelle noodles in an "uncooked" tomato sauce. We couldn't get enough! Hopefully, it'll be on the new menu...
At this point, we were already getting pretty full, but when the entrees came out, our appetites miraculously reappeared. Two of us were lucky enough to order the very limited Hog Snapper that the Chef had had specially delivered that day. It came in the Naples style, as a whole fish, swimming in "acqua pazza" or crazy water - a very flavorful and delicate fish broth. I had the other special, Osso Bucco over Saffron Risotto, and it was to die for. The meat just fell off the bone and the risotto was aromatic and a perfect complement.
Believe it or not, we actually had room for dessert, so we enjoyed a selection of Tiramisu, Sfogliatelle and mini Cannolis with Lou's homemade Grappa. Unlike most, Lou's Grappa was smooth, refined and perfumed - a perfect accompaniment to the sweets and a terrific way to end the evening!
Del Vecchio's Italian Fishery is no longer the best kept secret in Deerfield Beach. They're getting a lot of buzz in the local community, so be sure to call ahead for a reservation. Trust me, you won't be disappointed!
Social BookmarkingWe started with a selection of appetizers and two of them stood out as clear winners. The Clams Oreganato were so fresh and delicate they melted in your mouth like cotton candy. And everyone was using the fresh baked bread to sop up all of the herb garlic oil in the bottom of the serving dish! And Lou's grandmother's meatball and sauce recipe was a crowd pleaser.
Then the Chef sent out a complimentary dish of a new item that he is thinking about adding to the menu. Al dente pappardelle noodles in an "uncooked" tomato sauce. We couldn't get enough! Hopefully, it'll be on the new menu...
At this point, we were already getting pretty full, but when the entrees came out, our appetites miraculously reappeared. Two of us were lucky enough to order the very limited Hog Snapper that the Chef had had specially delivered that day. It came in the Naples style, as a whole fish, swimming in "acqua pazza" or crazy water - a very flavorful and delicate fish broth. I had the other special, Osso Bucco over Saffron Risotto, and it was to die for. The meat just fell off the bone and the risotto was aromatic and a perfect complement.
Believe it or not, we actually had room for dessert, so we enjoyed a selection of Tiramisu, Sfogliatelle and mini Cannolis with Lou's homemade Grappa. Unlike most, Lou's Grappa was smooth, refined and perfumed - a perfect accompaniment to the sweets and a terrific way to end the evening!
Del Vecchio's Italian Fishery is no longer the best kept secret in Deerfield Beach. They're getting a lot of buzz in the local community, so be sure to call ahead for a reservation. Trust me, you won't be disappointed!
Thursday, August 7, 2008
Pending home sales index rises 5.3% in June
Interesting dialogue regarding the latest NAR stats. Worth a read...
Monday, June 9, 2008
Pending home sales jump 6.3% in April!
Index of homes under contract rises to the highest level since October, Realtor group says.
NEW YORK (CNNMoney.com) -- The number of homes under contract to be sold rose unexpectedly in April as buyers go bargain hunting, according to a report released Monday.
Pending Home Sales Index from the National Association of Realtors (NAR) rose to 88.2 in April, up 6.3% from March's reading of 83 and the highest level since October. The increase defied the consensus estimate of economists polled by Briefing.com, who had expected pending sales to fall by 1%.
Despite the increase, April's reading remains down 13.1% from the same period last year, and down 29% from the index's peak in April 2005. The Pending Home Sales index debuted in 2001, and a reading of 100 is equal to results that first year.
"Bargain hunters have entered the market en masse, especially in areas that have experienced double-digit price declines, but it's unclear if they are investors or owner-occupants," said Lawrence Yun, chief economist for the NAR in a statement. The Pending Home Sales Index was strongest in the Midwest, where it jumped 13%, and weakest in the Northeast, where it declined 1.9% The positive report indicates that the decline in home sales may be starting to slow. "Existing home sales have started to form what looks like a bottom," said Adam York, an economist with Wachovia Corp.
However, one bullish report hardly signals the resurgence of the battered housing market. "You have to see a stability in prices and inventory before you say the market has turned a corner," cautioned Asha Bangalore, economist with Northern Trust Co. The trade group's Pending Home Sales Index is considered a more forward-looking indicator of home sales than the NAR's closely watched existing home sales report. Unlike existing home sales estimates, pending home sales are usually counted a month or two before a closing sales contract is signed.
Social BookmarkingNEW YORK (CNNMoney.com) -- The number of homes under contract to be sold rose unexpectedly in April as buyers go bargain hunting, according to a report released Monday.
Pending Home Sales Index from the National Association of Realtors (NAR) rose to 88.2 in April, up 6.3% from March's reading of 83 and the highest level since October. The increase defied the consensus estimate of economists polled by Briefing.com, who had expected pending sales to fall by 1%.
Despite the increase, April's reading remains down 13.1% from the same period last year, and down 29% from the index's peak in April 2005. The Pending Home Sales index debuted in 2001, and a reading of 100 is equal to results that first year.
"Bargain hunters have entered the market en masse, especially in areas that have experienced double-digit price declines, but it's unclear if they are investors or owner-occupants," said Lawrence Yun, chief economist for the NAR in a statement. The Pending Home Sales Index was strongest in the Midwest, where it jumped 13%, and weakest in the Northeast, where it declined 1.9% The positive report indicates that the decline in home sales may be starting to slow. "Existing home sales have started to form what looks like a bottom," said Adam York, an economist with Wachovia Corp.
However, one bullish report hardly signals the resurgence of the battered housing market. "You have to see a stability in prices and inventory before you say the market has turned a corner," cautioned Asha Bangalore, economist with Northern Trust Co. The trade group's Pending Home Sales Index is considered a more forward-looking indicator of home sales than the NAR's closely watched existing home sales report. Unlike existing home sales estimates, pending home sales are usually counted a month or two before a closing sales contract is signed.
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