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Consumer Spending will not Collapse in Face of Housing Correction - Diane Swonk's Themes on the Economy ------------ New CEPR Paper Looks at the Factors Leading Up To the Recent Instability of the Housing and Stock Markets - "Midsummer Meltdown: Prospects for the Stock and Housing Markets". - CEPR ------------ Housing Trends - America's Most Expensive Commutes - In these 10 cities, commuting costs eat up almost a fifth of household expenses - Forbes ------------ Good-Bye First-Time Home Buyer! and Month in Review, August 2007 - John Burns RE Consulting ------------ 1. Fannie Mae Wants Higher Mortgage Cap - Forbes 2. OFHEO STATEMENT - not going to increase limits yet - OFHEO 3. Bush: No B&C Bailout housingwire ------------ NOURIEL ROUBINI’S INSIGHTS INTO THE CURRENT MARKET TURMOIL: WE ARE FACING A “FUNDAMENTAL DEBT, CREDIT AND INSOLVENCY CRISIS”, NOT JUST A LIQUIDITY CRUNCH - Nouriel Roubini's Blog ------------ DBRS Publishes Report: “U.S. RMBS Predatory Lending – Statutory Provisions and Assignee Liability” DBRS ------------ DC Area - Area's Big Financiers Brace for 'a Serious Shakeout' - Washington Post ------------ well written but not for the faint of heart - This Is Not A Normal Event by Ben Jones - housing bubble blog ------------ Hope from Larry Kudlow - Will Main Street Bail Out Wall Street? - The Wall Street brainiacs are panicked about sub-prime mortgages and the current stock-market correction. But Main Street investors -- with their plentiful incomes and longer-term stock market horizons -- may ultimately bail them out. townhall.com ------------ Subprime woes are hurting all bank stocks USA Today ------------ Cramer After Lockhart Now - Business Law Prof Blog ------------ What the Fed Did in 1998 and What is Different Now - FXstreet.com The Foreign Exchange Market ------------ FOMC Caught In a Catch-22 - Thomas Kee submits: A rate cut by the FOMC is now expected. This would be a proactive step by the FOMC in my opinion, but a risky one. It may not even work because rate cuts take a while to impact the economy, and the recent increases in rates in the credit markets were based on risk assessment, not anticipated changes in rates. seeking alpha ------------ Home Price Indexes Show No Relief - By IndexUniverse Staff ------------ The “Plunge Protection Team” working Overtime, by Gary Dorsch, Editor - sirchartsalot