Quaker

Consumer Confidence Index Encourages an Economic Rebound

Consumer confodenceis irrelevant.

Bank of America - Last Man Standing

To me, there's nothing funnier than endorsing banks. So far, the only major bank that's had eps estimates cut has been BSC. a 1% increase in the cost of financing their short term debt would cost them $2 a share in net income. BAC already has a pe of 10 and forward growth estimates of 6% 17 months out!!

It's hard to imagine bank earnings won't fall drastically.

Bank of America: Countrywide’s White Knight

What would Buffets return have been if you took out his 700% gain in PetroChina?

The CFC investment is being misinterpreted by the same yahoo's who've been talking up mortgage banks for a year now. CFC is a $5 stock waiting to happen.

Explain to me how CFC makes money borrowing at a 21% premium and a 7.5% rate and lending at 6.8%, the current rate for a 30 year mortgage? This is an effective 9.4% rate. Are they making subprime snowmobile loans?

CFC's investment was for one reason. This quarters losses will probably put them in technical default on their loan covenants.

CFC has $464 million in amortized interest. Amortized interest DOUBLED year over year. That means it has 7 billion in ARMS that aren't making principle OR INTEREST payments in an environment of rapidly falling home prices, an illiquid housing markets. All this and ARMS have JUST STARTES resetting!

Between 2005 and 2006, CFC amortized 464 million in interest and dropped depreciation 2 billion and STILL only earned 145 million more than the prior year.

Next year, CFC won't have loans that are bad, they'll have reposessed homes they can't sell. People today still think collateral is a good thing. That idea won't last.