Comments on: Let sleeping shadow banking systems lie Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 By: Chloe Wed, 20 May 2009 04:46:17 +0000 Great read, espcially liked “So, what’s the implication? Some debt will be repaid but a lot will just be destroyed via default. An organized write-down seems impossible. That will be a huge problem for the banking system and the country, and you can understand why the government does not wish to meet it head on.”

Joseph Stiglitz discussed this recently on Charlie Rose: charlie-rose-joseph-stiglitz-on-future.h tml

By: LastReplay Tue, 10 Mar 2009 19:58:32 +0000 All what is going on now in the US concerning the Dollar and it’s markets, is now fully manipulated to fail on purpose, they are all just buying time for foreign investors to realize that all US debt-buying is wasted wealth.

Obama & the Fed know it’s all gonna crash, but are trying to position the US into a better position than the rest of the Globe.

The moment Asia stops buying debt, is the moment the US will stop paying it’s debt.

What will happen then is basically a “global economic blackmail” as in ” MAKE US PAY”. The G20 meeting might give us all the general direction of what will unfold.

If your local leaders comes back in a total PANIK, you will know the US as blackmailed the world into a 1 currency system. I think they might just evaluate all currencies to reset the debt values and just Continue this Giant Fiat based counterfeit ring & protection-racket.

By: RenTacus Tue, 10 Mar 2009 14:31:07 +0000 The smoke screen to keep the train on track will burry generations to come, watch and share 14

By: jeremy Mon, 09 Mar 2009 12:57:35 +0000 A system that depends on debt will not forgive its life’s blood. it would seem that as long as we are stuck in this system, many will pay, few will truly benefit, it is literally designed that way.

The solution is complete change, hampered by battles with words like “socialism” and “debt slavery” being thrown everywhere, a literal quagmire of ideas that is, in my opinion, a perfect smoke screen to keep the train on track.

just shut up and pay, don’t you have to work soon?

By: db Mon, 09 Mar 2009 02:59:09 +0000 What a surprise the thompson reuters analyist want to use our money to leverage and reinflate the stock market. Thus paying off hedge funds and private equity which are the same people who got us into this mess by selling toxic assets to the world. they make money selling the junk, and now the government helps them to make money buying it back from all of us who have lost our shirt buying it. Is there something about working in the financial industry that removes all the moral fiber of your being that you’d actually think this is a good idea. Oh wait, the masters who pay your bills will make a fortune. You people are the scum of the earth, and unfortunately our legal system doesn’t allow for what should happen to you, your family, and the families of all the wall street scum who caused this mess in the first place. Since we actually have to work for a living, don’t have enough to invest in the markets, and are just getting by, we don’t care too much about wall street. People like you, out of touch with reality, interested in your own welfare above everyone’s is what got us into this mess. You are advocating a policy that is best for you and your friends, not America as a whole. You make me sick to my stomach!!! Get ready for the big spring rally!!! wow, maybe I’ll put the 200 bucks I’ve got into the market and make a fortune. Clueless!!!! How much money do you make, how much spare money do you have to put in the market? You are going to make a killing from the policy, and I’ll still be stuck attempting to figure out how to make my paycheck stretch to pay the rent. PIG

By: RenTacus Mon, 09 Mar 2009 02:51:01 +0000 Quoting Darth Baghead: “The housing bubble was a giant Ponzi scheme which was in the making for about 30 years, and long-time homeowners made out like bandits. Their homes appreciated tremendously, and today most of them face no mortgage troubles at all”

…. Others than followed wanting to jump on the wagon in fact are the ones now crying fool… thats the nature of the beast, is it not?

By: RenTacus Mon, 09 Mar 2009 02:41:31 +0000 Andre, the way I see it is this: The crisis
was engineered… I remember thinking about the ever increasing housing market as an oddity simply because most of us not having six figure incomes could not affort their ever increasing value!

I failed to sell and bank my cash under the matress, would I done that I would have been able to buy two deflated properties today.

To those that capitalized (selling high) and now awaite to capitalize further (buying low)
I take off my hat (that’s the nature of the beast) but PLEASE, keep the profit circulating in America!!!

By: Darth Baghead Mon, 09 Mar 2009 02:35:04 +0000 Mr. Saft, with all due respect, I think you are obfuscating rather than clarifying this economic crisis. Only meisters of credit-default-swaps and CDO’s could love all the technical mumbo-jumbo in your blog posting. It’s best to keep it simple.

An absolute requirement in this crisis is that all U.S. homeowners, whether they hold a mortgage or not, should be forced to contribute heavily to an economic stabilization plan. The housing bubble was a giant Ponzi scheme which was in the making for about 30 years, and long-time homeowners made out like bandits. Their homes appreciated tremendously, and today most of them face no mortgage troubles at all. Yet, they are still sitting on their big, fat, pretty profits obscenely obtained. Make them pay! Replace all property taxes with a stiff federal property tax, and tax profits on the sale of residential property at a 90 per cent clip. The money generated over 30-50 years would be more than enough to honestly finance an economic recovery plan. Housing prices would tumble even more, but that is EXACTLY what is needed in such jumbo-mortgage states such as California. The U.S. cannot compete on the world-wide economic stage when the price of a necessity like shelter is artificially inflated solely to enrich those who bought shelter first (a Ponzi scheme).

By: david b Mon, 09 Mar 2009 02:32:08 +0000 I have written Bloomberg, The New York Times, senator Christopher Dodd, and President Obama to attempt to trash this plan for the exact reasons you mention in this article. Giving cheap leverage to the folks who got us into this mess is just another huge taxpayer give away to wall street for which we shall pay the price. The only way I could see the program as being acceptable is to allow the american public access to these same funds to purchase mutual fund shares with the same deal. I’d actually try and exclude wall street, because it’s the american people who deserve to benefit when the improvement happens. Our government is doing everything it can in an attempt to get wall street to lever up once again, and we will end up with exactly the same results. The funny thing is that it’s so clear to so many people except the fed. Unfortunately, such behavior does not lead me to trust the markets and additionally does little to diminish in my mind that there actually exists some sort of agreement between wall street and washington that we don’t know about. I hate to sound like a nut case, but it’s hard to imagine any other reason for this absolute lunacy.

By: Jason Sun, 08 Mar 2009 21:26:32 +0000 The Fed and government are going to try to print their way out of this mess and destroy the value of the dollar in the process. When China stops accepting our dollars and debt, people will realize they aren’t worth the paper they are printed on. It is not a questions of _if_ this happens, but _when_ it happens and to what extent.

The only sane place to park your assets and grow your wealth in this environment is gold/silver and precious metals mining companies. I also like ETFs that short the market and short treasuries such as… TBT, SDS and UDN.