Masco has cut its 2007 earnings expectations. It now expects $1.55-$1.60 a share, down from $1.60-$1.70, and forecasts 2007 housing starts in the 1.35 million unit range, down from an earlier 1.40 million forecast. The conglomerate predicts a single-digit drop in fourth quarter sales.
The dollar hit a new low versus the euro, and now has parity with the Canadian dollar for the first time since November, 1976.
The subprime crisis has exceeded even the most pessimistic estimates, Fed Chairman Ben Bernanke told the House Committee on Financial Services yesterday. He said that delinquencies and foreclosures are going to rise, and that more homeowners in foreclosure are likely to lose their homes than in normal times, when about half of those foreclosed upon do. The fed plans more consumer protection rules later this year.
Interactive art done well: The Wall Street Journal has published a map of US delinquencies and housing prices.