(Edited to add ITB weekly chart)
We chuckle in Chat when we see a fund manager recommend a short (or buy) in an area we've already discussed on site. Case in point: home builders.
Having a mortgage banking background AND given the current state of low wage job creation, I could not agree more with Doubline's Gundlach. Increasingly big business lobbyists are pushing for the Obama Administration to increase the number H-1B visa issuance, stating that the U.S. doesn't have the skilled workers needed to fill their need. In truth are they merely pushing for a cheaper, more pliant labor? That's an entire debate on it's own but I also think the charts are signalling future weakness as I recommended shorting TOL and PHM in April.
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You have cash buyers (top/left) buying up bank foreclosures to help with not only their balance sheet, but with existing inventory..............but NEW, first-time home buyers? Their credit scores are still decimated from the credi
