User 268076

On WaMu's Birthday, JPMorgan Takes the Cake

Well done by the FDIC. One swift chop to the neck and it is over. No lingering and no direct costs to the FDIC reserves. Kudos to JPMorgan's managers too - kept their powder in good condition and are reaping the benefits of being a sound bank even in troubled times.

No Wonder the $700 Billion Bailout 'Deal' Failed

Crikey. These ideas are dumb. Propping up housing will only delay the descent of housing prices to where they need to be. AFFORDABLE HOUSING DOESN'T COME FROM GOVERNMENT SUBSIDY. That only ends up as increased housing costs.

What is really needed is deleveraging. By everybody, including government. Yes some sort of cushion is needed while this deleveraging is happening to prevent depression. But any solution that does not reduce debt in the long run is no damn good.

An Alternative to the Bailout

Man I can just see what this would do the the balance of payments.

Does GS Recapitalization Indicate It's Time to Invest?

The price GS paid shows nothing about what kind of shape they are in, only how hard it is to raise capital now even if you are a great company.

What Paulson Has Against Preferred

The american peeps are not being passive. It's just that nobody is listening!! Soon we will be talking much more loudly thanks to the 2nd amendment.

The Greatest Short Sale in History

I would really enjoy running TARP should the job be offered to me. A $700 billion checkbook and mad as hell.

My plan would be:

1. Realization that some support is required to obtain economic stability. This would be allowed grudgingly and at a heavy discount level and with associated punitive terms devised by the most devious legal minds available to insure the taxpayer eventually profits at expense of the corporations. Teach 'em a lesson is what I say. Think AIG is getting the shaft at 850 basis points over LIBOR? You ain't seen nuthin'. These guys will beg for the AIG deal by the time I'm done.

2. Realization that the senior executives and boards of all companies that I would help would have to be cashiered and lose all options, pensions, severance and other such benefits through invocation of malfeasance clauses and contractual requirements.

3. A deep anal probe of the finances of replaced boards and executives to insure complete lack of any ethical improprieties. Discovery of such will result in persecution in both the courts and press. At the end of the public pillorying only modern news media can provide they can rot in jail next to Lay and Skilling. It is anticipated that few executives, if any will be able to withstand the microscopic level of study that will be undertaken.