raja

Why Yesterday's Optimism Wasn't Warranted

MER will announce at least 6 Billion in losses and it wont be over. Till the govt. does something big about subprime/ CDOs/Housing, the bleeding wont stop.

A couple of Investment banks need to go down - just like BSC did. That will cleanse the market and the true value of securities will be revealed. Remember how BSC ( and other inv. firms)was telling it was difficult to evaluate their securities due to the complex nature?? Well, overnight how did they (JPM and the Fed) decide that BSC was worth $2.00 - where was the complexity hidden, and unmasked just like that ??

Time to take a haircut - or should I say, completely shave the head?