U.S. August Home Sales Were Actually Terrible!

Housing-Market / US Housing
Sep 23, 2010 - 02:53 PM

By: Sy_Harding

Sometimes I long for the days when newspapers and magazines were the main sources of economic information for investors. They took the time to analyze data before their headlines and reports influenced investor thinking.

With television and the Internet, the goal is not accuracy but speed.

With investors glued to their TV sets when each economic report is due, those reporting it must comment instantly, giving a kneejerk reaction without time to analyze the data. And with investors constantly surfing the Internet looking for the latest news for guidance, the first websites to carry the headline corresponding to the latest economic report is going to get the millions of ‘hits’ that produce higher advertising revenue.

We’ve had two classic examples this week. On Tuesday, the Fed released its statement after its FOMC meeting, saying it “will continue to monitor the economic outlook and financial developments, and is prepared to provide additional accommodation if needed to support the economic recovery.â€