Why is the jobs market not recovering? To a large extent, the state of the jobs market is what will determine the outcome of the 2012 elections.

The U.S. Economy is in a bad state. What can be done? I will offer an agenda: (1) Reconsider our participation in the Basel accords and recognize that purely commercial banks have a different set of risks that the now hybridized investment/commercial banks. These regulations penalize purely commercial banks by demanding higher capitalization while insanely [...]

Given yesterday’s economic numbers, suddenly the market thinks that the US is heading into another recession. Well, it’s not exactly a recession … yet. But many argue that, since housing and jobs are languishing, the economy never came out of its doldrums to begin with.

Normal daily stats, including lower jobless claims (worse for rates), below. Today I’m leading with a few comments.

Rates are amazing because economic news is terrible. Today’s links explore just how terrible. Plus there’s a bTunes dedication to loan agents battling rebate recapture. So click play on James Brown’s The Big Payback and read up.

There are no significant economic fundamentals today but let’s rewiew the week. Housing data was ugly and points to the fact that the housing market is not going to recover any time soon. Housing Starts will be depressed through the end of next year. Both Existing Home Sales (5,050,000 annualized) and Housing Starts (523,000 annualized) [...]

Awhile back I wrote that if Barry Ritholtz was a rapper, he’d be Gift of Gab from Blackalicious. His retort was that he’s all 3 Beastie Boys. I can dig that: the dude’s “got more stories than JD’s got Salinger.” So kicking off today with an inflation story originated on his blog—context for today’s PPI [...]

Here’s an interesting Fed report titled Surveying the Aftermath of the Storm: Changes in Family Finances from 2007 to 2009.

Warren Buffet released his Berkshire Hathaway annual shareholder letter today, which is widely read for signals on the broader economy. Here’s what he said about housing: “A housing recovery will probably begin within a year or so. In any event, it is certain to occur at some point.”

Following this morning’s worse-than-expected September jobs report, mortgage bonds are up 34 basis points continuing a six session up-trend that’s brought rates down by .2%. The report showed 95,000 non-farm payrolls were lost and 64,000 private sector jobs were gained. Despite the private sector adding 863,000 jobs this year, the overall jobs report was perceived [...]