Meredith Whitney: "No Doubt We Have Entered A Double-Dip For Housing"

Highlights from an interview by Meredith Whitney currently on CNBC (full interview to be posted later):

  • A double dip in housing is a certainty
  • State economies are plunging, and are $200 billion underwater, will lead to 2 million in state-level layoffs leading to a low-end impact; raising taxes at state level will impact the top-end
  • Retail sales have been stronger only due to consumers not paying mortgages, retail sales have already topped as is
  • Q2 bank results will finally catch up with accelerated mortgage foreclosures; charge-offs and delinquencies in credit cards are better due to mortgage non-payment cash flow going to other obligations, and this will soon top as well
  • Structural employment issues in the US won't get better any time soon

Full interview: