Roubini Attacks Bailout, But Misses Boat on Regulation [View article]
The government move agains FNM and FRE made the rich richer, the shorters that bring companies stock prices down so low that they cannot raise capital...and then must fail or be bailed out. The problem here is the MARKET which allows people to sell shares they don't own. Those are the RICH people. Most common everyday joe's don't use shorting to make money. they invest for the long haul. The investors , teachers mutual fund holders, pension fund that owned the common stock are the losers.
What does this bode for GM, LEH and others that require capital raises.....no way you will get everyday people to invest....
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The government move agains FNM and FRE made the rich richer, the shorters that bring companies stock prices down so low that they cannot raise capital...and then must fail or be bailed out. The problem here is the MARKET which allows people to sell shares they don't own. Those are the RICH people. Most common everyday joe's don't use shorting to make money. they invest for the long haul. The investors , teachers mutual fund holders, pension fund that owned the common stock are the losers.
Sep 10 12:41 pm
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All Comments by greedy bondholder »Roubini Attacks Bailout, But Misses Boat on Regulation [View article]
What does this bode for GM, LEH and others that require capital raises.....no way you will get everyday people to invest....