Dubya Wants to Improve Moving Jobs to China

[MarlandS]

that isn't who i think it is is it? blast from the past?

 

[JoseCuervo]

A good bit of the "improving econonmy" is being fueled by all the re-financing of the past 3 years, putting another $300 in everybody's pocket. And given that the average family has some ridiculous number in Credit Card debt (I think greater than $10k), it seems safe to say that every penny people get, they are spending (for the most part). That would be the only reason they would take money out of a 401k, is to spend it. It doesn't make a lot of sense to take money out of a 401K and not spend (ie... transfer to producers) or invest (ie... transfer to producers)....

If the economy is really going to be in trouble in 2008, I would expect to see a major step in the yield curve between 3 year notes and 4 year notes. Is it there?

 

[pawclaws]

At current interest rates I doubt that there would be a significant volume change on short term notes. The most likely scenario would be the retiree who has saturated his retirement accounts "speculating" by reinvesting funds to keep pace with inflation to fund a new vehicle, smaller home, etc, using proceeds from re-financing an encumbered yet liquid mortgage on an existing property that is too large or may be better used as an investment property following retirement. Yep, if the right terms can be had refinancing four or five years before retirement could be a real smart move.