Radiating Outward

The proverbial pig continues moving through the python. Bloomberg (08.01.07):

"Railroads, chemical producers and insurance companies are blaming the worst U.S. housing slump in 16 years for their earnings woes.

Subprime Defaults Blamed for U.S. Earnings Setbacks

"Burlington Northern Santa Fe Corp., the second-biggest U.S. railroad, said lower shipments of housing products and lumber reduced second-quarter earnings. DuPont Co., the third-largest chemical maker, said slumping demand for kitchen and bathroom countertops was partly responsible for its profit drop. Genworth Financial Inc., the former insurance unit of General Electric Co., said earnings will be at the 'lower end' of its forecast this year as mortgage-insurance claims increase."

The builders have already been getting creamed.