David Roskoph

Again ... It Wasn't Fannie and Freddie

243313,

Did you say hedge funds and collusion? Imagine that! Just like the pre-Sec cartels. Say, how many of our politicians are happy clients?

Why I Finally Bought Fannie Mae

You are among the few who "get" equating their survival to capitalism itself. The GSE umbrella/ruse lasted 30+ years but is now on the precipice. If they fail, how good is anything backed by the US? This intersection defines the limits of capitalism for if they fail, we will take a major step into socialism; that's why they won't. Hedge funds are in charge of the markets and have turned them into para-mutual casinos. Casinos need pure capitalism and letting them fail threatens the capital earth on which their casinos reign. Hopefully the adults will eventually return to agencies designed to govern markets for their absence has allowed markets to revert to the pre-SEC rich man's playground.

Ten Bear Market Phases, Current Edition

Mish,

You are 1000% spot on. The Federal Reserve has overseen each and every bubble and debased the currency to near toliet tissue status. They have facilitated the migration of wealth away from the middle class through the nefarious tax of inflation and somehow deserve a promotion? Few get what's truly at stake by destroying our currency. The chasm twixt ultra rich and everyone else has never been wider and the veneer of civility may well be tested if the inflation genie ravages what's left of the "everyone else" population. Either they will "stop the presses" and allow deflation or hyperinflate America out of contention.