thotdoc

U.S. Rejects Nationalization of Citi and BAC

Or he is not overselling.

I have difficulty when you or anyone says that OBama doesn't understand how the markets work.

First, it is arguably correct to say that no one knows how the markets work. Second, it is arguably correct to say that knowing how the markets work is what led to the Fed, in the past, not making the hard decisions. Let's see how they do.

On another topic, The problem with taking out the shorts is that shorting is part of teh game. I agree with a wind fall tax on it, however.

G


On Feb 21 05:00 PM jepittman wrote:

> This administration has a viable plan for dealing with this crisis.
> It has done an absolutely wretched job of selling it. There is a
> plan to get the 'bad assets' off the banks balance sheets. There
> is a plan to recapitalize the deserving banks with cash. There is
> a plan to restart securitization of commercial loans, residential
> mortgage loans, student loans, credit card consumer loans, with the
> federal reserve as the purchaser until private markets stabilize.
> These plans were vaguely outlined and then the spokesmen disappeared
> with no Q&A, no followup with details, and virtual silence while
> rumors of bank nationalization ran wild. Obama is a thoughtful and
> talented man but it appeares like he has no clue about how markets
> work, and the advice he is getting about communication with them
> leaves a lot to be desired.
>