Fitz919

Why This Rally Is Unsustainable

I'm glad to see someone pointing out the obvious. I would like to take one point further though. The public/private partnership plan to buy up toxic assets is now DOA. You see the relaxation of mark to market rules have made it possible for banks to value those assets as high as they like. Now they have no reason to sell any of it. It produces income for them, and now it lets them inflate their books. They show up as paper gains, which of course they claim as profits. The formerly toxic assets are now the geese laying golden eggs...there is no way they are going to sell any of it.