Credit Crunch Continues, Thornburg Exec Says
Thornburg Mortgage (TMA) operating chief Larry Goldstone applauds Tuesday's Fed rate cut but says his industry is still facing tough times ahead.
Federal Reserve Chairman Ben Bernanke cut the benchmark fed funds overnight lending interest rate by 50 basis points. The Fed said it feared that disruptions in the credit markets could seep into the economy.
Shares of financial companies rose sharply on the news, as investors breathed a sigh of relief. And Goldstone says he believes the Fed will continue to cut rates through year-end, to 4% from the recent 4.75%.
But Goldstone tells TheStreet.com that even with rate relief, credit worries will persist -- and the housing and mortgage industries are far from out of the woods."The moves that
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