The S&P Case-Shiller Home Price 10-City Index also posted a record drop of its own, by 17.7% year-over-year and 1.1% for the month of August. It’s the 25th straight decline for the index. The 20-city index fell 16.6% year-over-year and 1% in August.
The SPDR DJ Wilshire REIT (RWR) is down 45.5% year-to-date.
All eyes are on Washington this week as the Federal Reserve kicks off a two-day meeting, and many analysts expect that it will culminate in another round of rate cuts. The official decision will be announced at 2:15 p.m. PT tomorrow.
The big question isn’t if, but how much? Most seem to be betting that the key rate will be slashed to 1%, reports Jeannine Aversa for the Associated Press. However much the rate is cut, the prime rate would fall by a corresponding amount. The prime rate currently is 4.5% and is used to peg home equity loans, certain credit cards and other loans with floating rates.