The home sales data shatters the myth!

This image is old and does NOT reflect current data!

Even as Paulson urges the senate to consider the stimulus package, the myth that was being spread by all the king's men and courtiers was that 'all was fine with the American economy' and that it was business as usual. And then the idea of a tax rebate came about and it sounded some good cheer all across the U.S.A.
But sadly though, it was all a myth and the recent data regarding the housing market clearly underlines that more than ever.

According to the data, the sale of new homes fell by more than 26.4% last year and that is by a whopping 700,000 and more. It is the lowest level that the sale of new homes has reached in almost two decades. Recently the Fed slashed rates and Wall Street reacted late and started to come slowly out of the red into the green.

I am sure that most of you who are reading this would have seen the cheerful faces of many a trader on the news that day. But that was , sadly, a knee jerk reaction and momentum not withstanding, it soon ran into troubled waters on the back of 'Hedge funds affair'.
Now with the latest installment from the commerce department, one can only wonder why is it that we are all so ready to believe in the Myth?