kevincei

Watch the Big Three Banks for Market Answers

I would submit that there is a truth to the facts layed out by Roubini etc. Problem started with easy credt. There is a debt bubble. Every tom dicK and harry got overextended. CDS market is now threatening the solvency of all banks. In reality most of these banks are already insolvent and hence their inability to lend.
www.guardian.co.uk/bus...
Next storm is coming from Eastern Europe. Hungary and few other countries are teetering on collapse.
www.ft.com/cms/s/0/3e2...
South Korea is having severe debasement of their currencies. All of their banks have been downgraded as to their credit ratings. These were the banks who were trying to buy Lehman. Obviously any bank jumping to buy others are having a ton of problems themselves.

According to Roubini this is not a financial crisis. It is a global credit and debt crisis. We will never be able to lend ourselves out of this. It is probably criminal to pump bullishness and bring poor suckers into this stock market destroying wealth. The truth is there will not be any meaningful recovery of stocks for years to come. Only continued wealth destruction.
Waht is coming is worlwide deflation and destruction of debt. There is nothing out debt laden governments can do except to disrupt the normal market forces.
www.minyanville.com/ar...