Sage Advice Quarterly Market Review 3Q2007

As expected, the economy staged an impressive rebound in the second quarter after grinding to a near standstill in the opening months of the year. But the sustainability of the headline growth spurt is open to question, as the ongoing housing recession and the mortgage-related aftershocks now coursing through the financial markets show little sign of abating. To be sure, housing has been on a downturn for over a year, making it more of an old than a new story. What is new, however, is the pushing back of the recovery timetable that seems to be unfolding.