It's a Winter Warming Spell - But More Snow Ahead for Markets [View article]
Markets rally 6 months in advance of the economy. So, most of your premises are not indicative of stock market direction.
MORE importantly, the public is being duped again. Market-to-market accounting, whether altered or removed, has nothing to do with banks' ability to operate. Cash flow does. So, can banks lend more to OFFSET losses if write downs are hidden? How much are the shares worth if we cannot determine what the value of their portfolio is? And just how many new loans are being made in this environment? Be very wary of what you hear from bank CEOs.
It's a Winter Warming Spell - But More Snow Ahead for Markets [View article]
MORE importantly, the public is being duped again. Market-to-market accounting, whether altered or removed, has nothing to do with banks' ability to operate. Cash flow does. So, can banks lend more to OFFSET losses if write downs are hidden? How much are the shares worth if we cannot determine what the value of their portfolio is? And just how many new loans are being made in this environment? Be very wary of what you hear from bank CEOs.