Gates of Hell

Gates of Hell
http://globaleconomicanalysis.blogspot.com/2007/07/gates-of-hell.html
The list of hedge funds closing the gates on redemptions has now spread to Australia. It seems the subprime lending crisis is now "contained" to three continents. With redemptions suspended investors are now seeing what it's like to be trapped behind the gates of hell.

Mish

If the sub-prime melt-down really was stoking some broader contagian wouldn't we see evidence of it in the broader real-estate securities markets? In particular, I would think that severe declines in Alt-A security values would be the first sign of the whole real-esate financial machine coming off the wheels. However, I haven't heard of anything more than a minor dip in Alt-A.

The resilience of Alt-A (and prime mortgage instruments) would seem to show that there is still a lot of confidence, and investor interest, in real-estate. Maybe things are "contained" (for the moment at least).

The dip in alt-a is coming
and big time.
It simply is not marked to market yet.

Hardly anything is