Conspiracy or State's preparing for the worst?

[reboog]

Bernanke assures us that the depression is canceled.

Sorry guys, gig's off.

[reboog]

[quote="jezer":1yh8nf0k]
Reboogism - You have 2 cattle. Cattle: Good nick length.[/quote:1yh8nf0k]

EXTREMELY good point

[reboog]

Brief history of leadup to the mortgage crisis, starting from the 70s

1. Savings and loans (commonly referred to as thrifts) originate mortgages.

2. Inflation takes place. The thrifts have to recognize losses because the money is not worth as much anymore.

3. Government opens FRE (Freddie Mac) and FNMA (Fannie Mae) with their programs (Guarantor and Swap) to "help" the thrifts.

4. Thrifts trade one bad holding for another. Government makes a ton of money, S&L collapses.

5. Lew Ranieri and Bob Dall at investment bank Salomon Brothers lobby and make mortgages a tradable asset.

6. Government promotes home ownership. American dream is to own a home. Make homes affordable. No down payment, ARMs. Alt-A and subprime loans.

7. Securitization (CDSes (credit default swaps)) to guarantee MBS (mortgage backed securities). Mortgages also wrapped into assets such as CDOs, CLOs, alphabet soup, blah blah blah

8. Regulatory anomaly. A 3% down payment is rated safer than a 20% down payment.

9. No down payments and easy credit cause a housing market bubble.

10. lol guys we **** up need bailout... and we can't eat just one

[Weasel]

Not even 24 hours after the government reassures the markets they will not nationalize any banks under any circumstances, they make a deal with Citi which will give them 36% ownership..

Going to be yet another bad day for the DOW today quite likely - may even fall through that 7,000 floor (or 740 on S&P)...
It won't be pretty if it does. Watch the last half hour or so...

[reboog]

[quote="Weasel":1yge1yz0]Not even 24 hours after the government reassures the markets they will not nationalize any banks under any circumstances, they make a deal with Citi which will give them 36% ownership..[/quote:1yge1yz0]

If this were a fair trade, the government would have 50.3% ownership of Citigroup, if my math is correct.

[Weasel]

[quote="reboog":2ih1r3gn][quote="Weasel":2ih1r3gn]Not even 24 hours after the government reassures the markets they will not nationalize any banks under any circumstances, they make a deal with Citi which will give them 36% ownership..[/quote:2ih1r3gn]

If this were a fair trade, the government would have 50.3% ownership of Citigroup, if my math is correct.[/quote:2ih1r3gn]

Nods, they're effectively paying way over market value for converting those pref shares to common (and that's based on market value even before it took a dive this morning).. so it's effectively another bailout at the expense of the taxpayer, yet again... and it virtually gives them a controlling stake, considering that other publicly owned shares now amount to only about 26% apparently. For all intents and purposes, that almost [i:2ih1r3gn]is[/i:2ih1r3gn] nationalized.

Not to mention that the conversion severely dilutes existing coomon shares, and it seems Citi have also agreed not to pay dividends as part of the 'deal'.. and of course the shareholders didn't get a say in the matter.. I can smell a major shareholder class action lawsuit in the works for that alone..

[reboog]

If the government did its job, the shareholder value would be zero.

[Weasel]

[quote="reboog":2eo0krwp]If the government did its job, the shareholder value would be zero.[/quote:2eo0krwp]
lol.. I trust you're being sarcastic.. one can never be sure these days..

[reboog]

When an institution is bankrupt, how much are that institution's stocks and bonds worth?

[Weasel]

[quote="reboog":1v40ahyp]When an institution is bankrupt, how much are that institution's stocks and bonds worth?[/quote:1v40ahyp]
heh true... but Citi aren't [i:1v40ahyp]officially[/i:1v40ahyp] bankrupt [yet], that's the difference.

I wonder.. since banks (and lending institutions), car manufacturers and mortgage defaulters are being bailed out for bad decisions, where's the bailout for those who suffered capital losses in the markets as a result of those bad decisions?

Normally I'd say that I took a chance and lost, so I have to wear it, but apparently taking responsibility for one's actions went out the window some time ago..

Maybe I should ring those guys on tv with the really annoying adverts.. you know the ones; "I want my money, and I want it now!"
..ack those ads make me sick.

[Poggle]

IT'S MY MONEY AND I NEED IT NOW!!!!!111

Call J.G. Wentworth and Associates...etc.


I like the version that's an opera.

[Medios]

"Democracy is two wolves and a lamb voting on what is for lunch. Liberty is a well armed lamb contesting the vote" Benjamin Franklin
"Those who would give up essential liberty to purchase a little temporary safety deserve neither liberty nor safety" Benjamin Franklin

Whats the difference between a liberal and a communist?
The communist will wait until after your born to try and kill you.

Whats the difference between a republican and a socialist?
The republican will wait til your 18 to try to kill you while the socialist will wait til your 50.

Whats the difference between a libertarian and all other politicians?
The libertarian will let you kill yourself how you see fit.

Whats the difference between southern voters and the green party?
Nothing they both wipe their ass with corn cobbs.

What did Buddha say to the hot dog vendor?
Make me one with everything.

[reboog]

[quote="Weasel":21bg6aeq]heh true... but Citi aren't [i:21bg6aeq]officially[/i:21bg6aeq] bankrupt [yet], that's the difference.
[/quote:21bg6aeq]

I could [i:21bg6aeq]officially[/i:21bg6aeq] call myself not great, but that doesn't make it true.

[Mosaix]

I think Pete Sessions Republican from Texas sums it up pretty well.

The republican party should use the Taliban tactics as a model for the party.

Good to have goals for your party that involve ideas from a terrorist group.

This is Pete Sessions audio clip link below



[url:2uf22w35]http://lostintransition.nationaljournal.com/sessions_2.mp3[/url:2uf22w35]

[jezer]

When I reload the homepage the crier doesn't show on the homepage any more. Good idea... If we could all just let go of flaming our opinions, might do the game some good. I'm wondering if this is deliberate... I think wise move if so. Lets face it, we just crap on and on, and mostly at each other... I like to make fun of it all... but I guess my satire of how the game works, and the relationships between certain players... is only actually adding to it.

Guess I'll reflect on my signature some.