Pent up demand

Nixing 'Mark to Market' Won't Solve the Problem

I agree that Lehman, Wachovia, et.al. would probably have failed even under looser accounting rules. However, I think at this point we have to give cashflow positive financials a bit of breathing room. Let private capital gamble on whether the higher marks are correct or not. It serves nobody but the vultures to force an otherwise going concern to mark their stuff at the price of the most distressed player in the industry.

Mortgage Resets: Subprime May Be Ending, Option ARMs Have Just Begun

All these charts that I've seen graph only the first reset. A lot of the reset pain has been put off by the massive Fed cuts, but if (more like, when) they are forced to raise rates to curb inflation, the loans that have not defaulted by that time will come right back to the forefront.