Notes from Las Vegas

After every visit to Las Vegas, it becomes more clear that it probably wouldn't exist in its present form without the help of Alan Greenspan's eighteen and a half years at the Federal Reserve. With new condos and new hotels still springing from the desert floor, money seems to continue to flow freely as an entire culture appears to have been transformed from cautious savers to bold speculators.

It's not as if gambling is anything new in society - it's just never been this widespread or as socially accepted ... "loved", some might say.

They say the average visitor spends a total of 14 hours gambling during their stay. We'll come in far, far below that mark and may not even register a positive number - the cost of everything else is draining us dry after only one day.

The monorail went up in price from $3 per ride last August to $5 today and reasonably priced rooms seem to be a thing of the past. Didn't they used to have reasonably priced food here too - as a way of drawing you closer to the gambling gaming?

The town appears to be booming, though the local real esate market may no longer be.

REPOS and no more "$0 Down"

Passing through Palmdale and Victorville on the way out here, it was nearly impossible not to notice the change that has swept through the real estate market just by looking at signs on the side of the road.

There is now a big REPOS sign in front of the real estate office on the main street east from the 14 freeway and all the flashy signs inducing first time buyers in Victorville to take the plunge have come down.

Maybe the chart to the right from yesterday's Wall Street Journal story($) has something to do with it.

In these areas, there are just so many homes that have been built in recent years that all they really had to do to slow things down appeciably was to stop making mortgage lending any looser.

Now that lending standards are getting tighter - no more no money down and no more low monthly payments - the reversal looks to be accelerating.

A one year anniversary and a one day special

Commemorating the one-year anniversary of the launch of the companion website in this post from last May, today, for one day only, the introductory annual subscription rate for Iacono Research will again be offered.

Follow this link for the original rate of just $99.

As noted last week, free trials have been extended to a full 30 days and the special subscription offer above is being extended throughout that period for those on free trials as of today. So, if you are unsure or would like to have a leisurely look around, be sure to sign up for a free trial by the end of the day.

Guess the mid-year price of oil and gold

This is just another reminder that you also have a chance to win a one-year subscription by guessing the mid-year price of oil and gold - full details can be found in last Friday's post and guesses will continue to be accepted through Friday (current subscribers can win a free one-year extension).

The final results from the contest concluded in December are shown below.
Make your guesses either on this post or via email. A final reminder will be provided on Friday, after which a new graphic will be prepared. Good luck to all.

The Money Show

Most of the day today will be spent at The Money Show - look for a few comments later today or tomorrow.