TradingHelpDesk

Rating Agencies Won't Be Able to Shut CalPers Up Easily

I hope Calpers eat the for breakfast, lunch and dinner.

The ratings were so far from reality, is was verging on the criminal. Are this rating agencies even regulated.

I suffered from $1,000 dollar suited salesmen visiting me, trying to sell me complex ABS/MBS slices of debt promising me they were secure, investment grade, and high rated - citing S&P, Moodys ratings.

The only reason I didn't buy was I just couldn't understand how these packages of mortgages were structured and could be rated close to US government debt in terms of security.

Thank god I was "stupid".

California's Default Is Certain

Guys, please stop shooting the messengers. It doesn't matter if you are pro Obama or pro Reagan.

The point is the financial system has been proven to be structurally and fundamentally broken. That system developed through Republican and Democrat terms.

The point is, surely, that the system we have is over-taxed, stimulated by unsustainable debt bubbles and run by bureaucrats who generally do not have the intellectual capacity to understand the difference between printing money and the measures required to generate real economic wealth.

All I see is the country manipulated by industry, particularly the financial industry, obsessed with next quarters earnings, cutting pay-rolls and re-distributing the wealth from one section of society to another.

Shouldn't business be about growing wealth for all - and shouldn't the aim of the Fed be that as well? If you dig deep, there is a common theme that is causing these problems: Debt.

seekingalpha.com/artic...

California's Default Is Certain

"The petty, brain-dead politicians in California are still engaged in their suicidal, ideological stand-off."

I love it. Show me a politician or box-ticking state bureaucrat who understands real economics and there you will have a rare commodity indeed. Maybe one even worth voting for.