China sounds a bit testy over suggestions by the U.S. that it should realign the yuan. The edginess stems from a nervousness by governmental heads as they realize it is hard to control their own invention, a super heated economy where speculation is mistaken for growth.
Housing market in the U.S. has an underlying problem of accelerating prime mortgage delinquency. Foreclosures have been put off and seem to be a part of a growing hope or plan that a slow recovery might occur over time if inventories are absorbed by a recovering economy. Lots of liquidity in the banks under tighter loan standards unfortunately does not create enough lending to save the sector. Lack of significant job growth means dull real estate for the foreseeable future.
Stocks continue to have a bid as low volume and small ranges dominate daily trade. Zero interest rates however are proof of a sketchy recovery where 'eat like a bird, ___t like an elephant' market action keeps the bulls nervous and the bears weary.
