toddler who could be heard crying underneath the ruins. officials fear hundreds more may be trapped, and adding to the anxiety, at least 20 aftershocks have rumbled through the quake zone. well, president obama expected to unveil a new economic plan in about two hours. as he says, we can t wait to boost this failing economy. the president using his executive authority to launch a plan, part of which will help homeowners who are underwater on their mortgages. it entails refinancing help for homeowners who have little to no equity in their homes. typically, refinancing is only available for those who have some equity in their homes, meaning they don t owe more than the house is worth. well, that would change that. the president s plan is designed to take effect with no congressional approval. lou dobbs is a fox business network host and a syndicated radio host and with me now. lou, the president says, and i quote that s a new mantra we can t wait for lawmakers to act, so he s going
povlt for the people. it goes on over and over again. and you think it s the light at the end of the tunnel and fannie mae just went to the treasury for another 5.1 bye because they are broke. they just reported a $3 billion loss just in the last quarter. where did they get the money to do this. sandra, isn t this organize bli one of causes for the real estate meltdown, using his words in 2008, fannie mae and freddie mac do all the loans you want? absolutely. in this situation could get a lot worse. we re all on hook for this. this think about this, in the present job proposal plan, he proposes we have more refinancing help out there. and not just the mortgages but the servicing rate on those mortgages. if that bill passes we see the values go way down and we re on
mixed. when there s uncertainty there s volatility. in positive signs coming out of this week? what are they? there were some positive sign. right? retail sales were up in july. the biggest gain since march. fewer foreclosures in july. initial jobless claims down. remember, too, corporate earnings have been strong. we ll be looking to see monday whether were can build on the gains we saw today or go back further into declines. mortgage rates at historic lows. uh-huh. will all the refinancing help boost the economy at all? investors are pouring money taking mortgages down with it. you could see more people actually ge out and bay home. a positive for that. refis are up. people are doing that. whether it actually does much to boost the economy is questionable given a big macro economic picture, the confidence level of consumers now, sentiment for today, down to the lowest level in more than three decades. all of the head winds preventing a typical spike we normally see.