Rope? What rope? - All Hell Breaks Loose

WAMU GOES UNDER!
Washington Mutual - Biggest US Bank Failure in History (http://news.yahoo.com/s/nm/20080926/bs_nm/us_washingtonmutual_jpmorganbiz_4)

WHILE POLITICIANS BICKER!
Bailout Stalls as Republicans Revolt (http://biz.yahoo.com/ap/080925/financial_meltdown.html)


KenC Says Palin was Right!
Sawatdee News Service reports tonight that poster KenC, a fervent Democrat and Obama supporter, admitted that Republican Vice-Presidential candidate Sarah Palin was correct in her assesment that America might be facing another "Great Depression".

"She's right", says KenC, "though I think her comments were injudicious. America is facing its most serious economic crisis since 1930".

When asked if he now was looking at Palin in a better light he replied "Hell NO! Though she was correct in her assesment she needs to understand that what we are dealing with is a banking PANIC, and talk about 'depression' only adds to it. We need to stop the Panic!"

The interview ended abruptly as KenC left, saying he needed more Bourbon to sort things out.

[rincondog]

We live in interesting times, whatever you do don't jump. Unless of course you are in Pattaya.

Every cloud has a silver lining. Is anyone tracking the Flying Farang Index. I expect it to plummet as even the Thais begin to realise that those US based assets are not going to render as bountifully as previously.

Wachovia was just forced into a shotgun wedding with Citigroup.

Wachovia Merged with Citigroup (http://news.yahoo.com/s/ap/20080929/ap_on_bi_ge/wachovia_citigroup_26)

Note this part of the article:
"Now that a deal for Wachovia is complete, the most troubled of the nation's largest financial institutions have been dealt with. However, the FDIC estimated there were 117 banks and thrifts in trouble during the second quarter, the highest level since 2003. And that number is likely to have increased during the third quarter".

Looks like the Republicans just flushed the bailout down the toilet, along with Wall Street and their chances in the upcoming election.

Hope Henry didn't double down yet!

US Bailout Rejected; Fear Grips Markets (http://news.yahoo.com/s/nm/20080929/bs_nm/us_financial3_8)

The panic is spreading globally.

[Lunchtime O'Booze]

KenC Says Palin was Right!
Sawatdee News Service reports tonight that poster KenC, a fervent Democrat and Obama supporter, admitted that Republican Vice-Presidential candidate Sarah Palin was correct in her assesment that America might be facing another "Great Depression".

that should be the greatest depression of all time !

but we ain't seen nothing yet. Wall Street is about to be rewarded for it's failure but middle America is sadly about to be hit by the collapse of credit card companies. This is the tsunami that is going to engulf us all as most Yanks have been using cards to prop up the falling value of wages.

They'll start going down like nine pins soon , interest rates will rise and the cycle will escalate.

So much for a "plan" that would have done nothing to even address the circumstances that caused the whole mess. Those circumstances being the ease of getting credit overpricing homes bought by persons whose jobs (salaries) have been disappearing overseas to China and Mexico and other cheap labor countries directly related to the Republican/Bush "laissez faire" attitude, and that undermining labor in America gets them power, and losing their jobs to the the overall thumbs-up-butt US management 'Harvard MBA' emphasis of the last decade on mergers/reorganizations/restructuring cutting expenses to improve spread sheets and hide problems. This bailout would just continue the "liquidity" that caused the problem in the first place. Bushnomics/same/same/MacCain is the root of the problem and it's too late, very sadly. The last threads of the rope have stretched to the limit.

Throwing money that doesn't really exist at something doesn't really seem to be getting at the root of the problem - sounds like criticism of the Taksin regime not really doing anything to solve problems in Thailand. Lucky Thailand got rid of their problem, look what the US is left with.

[bigben]

Worth a look for sure....This link is being pulled but because it is so popular, it is like wildfire and won't go away....Enjoy

www.youtube.com/TheMouthPeace (http://www.youtube.com/TheMouthPeace)

Worth a look for sure....This link is being pulled but because it is so popular, it is like wildfire and won't go away....Enjoy

www.youtube.com/TheMouthPeace (http://www.youtube.com/TheMouthPeace)

More Right Wing Horseshit

[bigben]

Horseshit?

I admit I am not a wizz at finance (from from it) but from what I read from the media, it certainly makes sense to me.....Not that the media is horseshit free.

Would you sir, happen to have another link available to us less educated than yourself to better explain the reason why we are having bail outs occurring on a daily basis?

Kind Regards.

Horseshit?
I admit I am not a wizz at finance (from from it) but from what I read from the media, it certainly makes sense to me.....Not that the media is horseshit free.
Would you sir, happen to have another link available to us less educated than yourself to better explain the reason why we are having bail outs occurring on a daily basis?....

How about this?
Minorities Scapegoated for Meltdown (http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/09/29/EDHL135IV2.DTL&hw=community+reinvestment+act&sn=001&sc=1000)

And a good explanation of the nature of the problem by the Blackrock Group (which Henry has already touted)
Market Turbulence Exposes Risks of Liquidity Investing (http://www2.blackrock.com/content/groups/global/documents/literature/special_report_market_turbulen.pdf)

Now let me ask you a question BigBen.
After you spent 11 minutes watching that piece of trash did you take the time to write down any of the source material (that was rapidly flashed before your eyes) and check if the facts really supported the video? Did you just swallow the thing whole and say "Gee wiz, sounds good to me"! At least the list of the poster's other vids ought to give you a clue what political axe he is trying to grind. Its your job, not mine, to figure out if what you're being presented with is garbage or not.

your job, not mine, to figure out if what you're being presented with is garbage or not.As someone who works on the fringes of banking, I have to agree with the analysis. Banks didn't change their lending policies through greed. They were strong-armed by the Clinton Administration, through threats and inducements, to lend to more risky customers, basically minorities. That's well documented, so it's hardly the Vast Right-Wing Conspiracy Theory much loved by Hillary Clinton. Just because something comes from the Right or the Left doesn't make it automatically correct or incorrect unless you are a one eyed supporter of either group. :cyclopsani:

.... Banks didn't change their lending policies through greed. They were strong-armed by the Clinton Administration, through threats and inducements, to lend to more risky customers, basically minorities. ...

Banks changed their racist "red lining" lending policies because they were forced to. They were forced to lend to minorities on an equal basis to whites, and not allowed to deny minorities loans because they were "minorites and thus risky customers". Risky customers are risky because of their credit history, NOT their racial profile.

And BTW let's call it for what it is: "minorities" is just a right wing code word for Blacks and "Mexicans".

Now Curious, let me say this real slow so you and Henry and BigBen and Homitern can understand it:

Banks changed their lending policies because they could securitize the loan and sell it for a profit and not have the risk on their books.

MORTGAGE ORIGINATORS WHO MADE MOST OF THESE BAD LOANS IN THE LAST 3 YEARS WERE NOT SUBJECT TO THE CRA.

Banks changed their lending policies because they could securitize the loan and sell it for a profit and not have the risk on their booksThere you have the advantage on me, kenc - I only work in the banking industry so I'm not knowledgeable of your inside information. From my perspective banks were forced to change their lending policies and decided to find a way of removing the risk from their books, because the point of banking is always to be risk averse. I'm not sure why you think selling those securities for a profit is a bad thing. Maybe you could explain why profit is a dirty word in San Francisco?

[topjohn5]

Now Curious, let me say this real slow so you and Henry and BigBen and Homitern can understand it:

Banks changed their lending policies because they could securitize the loan and sell it for a profit and not have the risk on their books.



Well, kenc that is not exactly a true statement! The vast majority of loans sold were sold to fannie and freddie as recourse paper with a 2 years recourse.....true enough they are not on their books but they still have the risk!

Now Curious, let me say this real slow so you and Henry and BigBen and Homitern can understand it:

Banks changed their lending policies because they could securitize the loan and sell it for a profit and not have the risk on their books.



Well, kenc that is not exactly a true statement! The vast majority of loans sold were sold to fannie and freddie as recourse paper with a 2 years recourse.....true enough they are not on their books but they still have the risk!

And Fanny a Freddie repackaged and resold it.
Goddammit where do you think all this Fannie and Freddie "paper" that everyone's buying came from??????

All this shit has been going round and round and round in circles for years. And now the game of Musical Chairs has stopped and no one wants to hold the "hot potato".
The "Credit Crisis" is a banking panic in the classic 19th century way.
The Credit Markets are constipated and the so called "Bailout" is in fact a laxitive to try and get everything moving again.

And I've mixed way too many metaphors for a Friday night but I'm real pissed off now.

And Fanny a Freddie repackaged and resold itHow appalling. :bounce: Isn't buying and selling what capitalism's all about?

I've just been getting way too overheated lately on this board by all the political topics popping up.
Apologies to Henry C, Bigben, Curios, Topjohn and even Homitern if I'm starting to sound a bit strident.
I come to this board mainly to talk about Thailand but lately I've been dragged into these political arguments and I can't seem to help myself.

Well its Fri night, what can I say......

(oh I know :idea: )

http://www.youtube.com/watch?v=-XSjhz0OIOk&feature=related

Who's with me on this?

http://www.youtube.com/watch?v=rkRIbUT6u7Q&feature=PlayList&p=5C604613C32A2A8E&index=5

[topjohn5]

Saw her about 15 years ago in Vegas a she still had it.......

and money also.......

[rincondog]

Kenc the right wing wackos on this forum are the ones whose views have helped create this problem. You don't need to apologize instead you and all of us should be MAD AS HELL, AND I'M NOT GOING TO TAKE IT ANYMORE!

http://www.youtube.com/watch?v=MTN3s2iVKKI

[rincondog]

http://www.youtube.com/watch?v=90ELleCQvew&feature=related

Ok Rincondog. As long as were on the subject.....

Ned Beatty explains how the world really works to Peter Finch.

Is this how The Pod People got to Henry?

"...And our children will live...to see that Perfect World, in which there is no War or Famine, Opression or Brutality. One vast and ecumenical Holding Company for whom all Men will work to serve a common profit [Prophet?]; in which all Men will hold a share of stock.
All necessities provided.
All anxieties tranquilized.
All boredom amused. ..."

http://www.youtube.com/watch?v=_AI8mC8XucY

[Wesley]

Right now, in Manila, I am not using a bank for that reason, and the fact that for one year here you cannot set up a Dollar account and the dollar seems to be up by two points since I arrived. So to lock it in at that rate of exchange is not what I would like to do. So, I am working out of an ATM business card for the time being. I have lost one bank back in the USA and I am a bit over worried about it is not the case in all countries, but I fear a spread of lack of Confidence in the banking system.. I just donтАЩt trust the consumer mind set right now, its 24 hour news and the more they talk about it on TV the worse it gets. If I had to guess I would say half the problem are the Talking heads on CNN and other networks, than the actual banking System, But I know several people that have made runs on their bank and that is not safe for them or the banking system. I think the UK did and USA and other banks around the world will eventually shore up their banking system. In the Philippines as soon as I red a local paper I saw they have set aside a considerable amount, for a small country, to cover any banking failure already, although this will not quickly solve the problem if you are patient and the consumer is patient it will be okay. If you don't stay in and others do the same there will be serious depression not just a mild recession. In my life time any way, I have never seen a run on banks. This is serious and I am being more cautious than usual since I lost quite a lot when the banks failed in Kyrgyzstan in 98. for almost a year I had to bank in Almaty for almost a year, which was a 6 hour drive then.

But, I have decided if me and others like me run on the banking system it will lead to a serious lack of confidence in the banking system which will cause a serious meltdown of the baking system . After all the banking system really is all about consumer confidence. Few of them have actual money on hand to cover their loans or investments. Should there be a run, by lack of confidence, I would bet 80% are not liquid enough to survive it; since most of their money is tied up in loans and investments and not cash