“A lot of manufacturers we talk to are looking for an improvement in fourth quarter and for a good increase in 2008,” he added. “I just hope they’re right.”
Earlier this month, roughly a month after concerns about the subprime mortgage lending industry wrecked havoc in global stock markets, the U.S. credit crisis was starting to relax, in no small part as a response to the Federal Reserve’s reducing its benchmark interest rate to 4.75 percent, from 5.25 percent.
Both stock market indexes and mortgage rates “have stabilized since that disruption in August,” said Kevin Thorpe, manager of housing statistics at the National Association of Realtors (NAR. “There are definitely some early indications that we are moving away from this subprime mess, at least in terms of liquidity.