| User Info
| Geithner: Banking Stooge in forum [Market-Ticker]
|
Baldy
Posts: 7390
Incept: 2008-05-16
Pittsburgh
|
|
Phirang
Posts: 10157
Incept: 2008-10-25
Flogging a "little person"
|
I think the biggest TALF participants will be pension funds.
----------
I'm not special, and I am not likely to accomplish anything extraordinary in my life. If you are reading this comment, the case is most likely that neither will you. http://www.cracked.com/article_18544_how-the-karate-kid-ruined-modern-world.html
|
Chainlink
Posts: 1101
Incept: 2008-10-26
Detroit River
|
I wonder if they're getting ready for the commercial real estate crash, and positioning to buy huge tracts of land that possiblywill be worth something, as opposed to thousands of acres of deteriorating, unoccupied housing. Like, get their foot in NOW since they know it's coming.
----------
"There's a "collective brain-trust" on TF?
Are they in jars, with electrodes?"
Bezzle ends my 16 month search for a signature.
|
Icanhasbailout
Posts: 9939
Incept: 2009-03-10
Imaginationland
|
The only "promise" this plan has is the promise to rob us blind.
Can anyone here seriously conceive of this plan being run honestly?
----------
|
Dashingdwl
Posts: 9764
Incept: 2007-06-26
los angeles
|
It's either a failure or the biggest swindle of taxpayers ever. Either way we lose.
----------
When you are hard and disciplined, you can be principled. People fear you because they have no leverage against you. It's the truest form of Liberty.
|
Baldy
Posts: 7390
Incept: 2008-05-16
Pittsburgh
|
Is this the right FAQ? There is another one too Quote:Who will bid for the assets?
Potential Private Investors will be pre-qualified by the FDIC to participate in an eligible asset pool auction. Joint bids from pre-qualified investor groups are acceptable, but group/investors will be prohibited once the auction process begins to maintain fairness. http://treasury.gov/press/releases/repor.... |
Perfectstorm
Posts: 211
Incept: 2008-02-25
florida
|
I would submit to Geithner that the "to big to fail" scenario should be approached from the "too many banks to succeed" rationale. If you pull out the finance bubble and do a study of new mean reversion in that industry...how many banks do we really need anyway?
|
Trappped
Posts: 73
Incept: 2009-02-13
Banned
|
These guys are seriously clueless !!!
They are so obsessed with keeping these failed instituions in business at any cost, thereby destroying free markets !!
Their solution to overleverage, is more leverage.
Their solution to obsessive debt, is more debt.
Their choice of leaders to lead us out of this is to empower the same people that let us get into this mess.
What's the definition of insanity again....................??
|
Fortune
Posts: 1542
Incept: 2008-04-21
A deep dark place...scary
|
I'll take swindle for $1000 Alex as I do not believe in Leopards changing their spots. After reading many examples of how this is easily gamed, it's pretty much a flat out certainty Joe taxpayer BOHICA. Geithner may be many things including banking Stooge extraordinaire IMO, but there is not a chance in hell they have not figured out that they is easily gamed. Can only conclude, they're OK with that as long as the crap gets off the bank's books. BBQ time.
----------
It's a toss up.
It is the Rule of Law that transforms assets into money: Martin Armstrong
Math IS: Karl Denninger
|
Trappped
Posts: 73
Incept: 2009-02-13
Banned
|
Fortune,
Great points. I just wanna add that do you really want to trust a "convicted" tax cheat ?
|
Pauperbear
Posts: 1676
Incept: 2008-01-22
norwalk, ct
|
This looks like a huge ripoff on the taxpayer if self dealing is allowed. The question I have is as an investor if the taxpayer gets stuck with the tab, are the big beaten down financial a great play? One would think if the taxpayer gets stuck the financial s get to clean their balance sheets. Bad for America good for banks?
----------
The truth is incontrovertible, malice may attack it, ignorance may deride it, but in the end; there it is.
Winston Churchill
|
Sammieboy
Posts: 187
Incept: 2008-02-27
|
Exclusive: Pimco intends to participate in U.S. toxic asset plan
NEW YORK (Reuters) - Bill Gross, the co-chief investment officer of Pimco, on Monday said he intends to participate in the U.S. Treasury's public-private investment plan aimed at taking toxic assets off of bank balance sheets.
"This is perhaps the first win/win/win policy to be put on the table and it should be welcomed enthusiastically. We intend to participate and do our part to serve clients as well as promote economic recovery," Gross told Reuters.
Pimco's endorsement is an important vote of confidence for the plan because the firm manages the world's largest bond fund.
(Editing by Theodore d'Afflisio)
|
Wisc-xc
Posts: 5524
Incept: 2007-07-14
outside chicago
|
Hehe, the market is loving the newly minted govt smokescreen here. So much for transparent, non govt propped, price discovery.
With the bond market in hand (BB's hand), as much as it pains me to see the market elevate on fraud and deception vis a vis this sick infusion of Orwellian Newspeak, I'm done fighting tsunamis and am going to enjoy the new found exuberance, irrational or otherwise. Eventually the bloom will come off the rose, but until then I'm going to enjoy whatever this new bubble's going to give us. In the spirit of Kruschev, better bled --slowly--than dead....I think.
|
Equalitarian
Posts: 39
Incept: 2009-01-20
SW Ohio
|
If Bill Gross is for this program, then the "gaming" has already begun.
Reason: spe
|
Reza30
Posts: 289
Incept: 2009-02-15
|
Karl, but the same old problem remains: Quote: At the same time, there are fears that investors may be reluctant to participate in light of the fact that Congress has retroactively altered the terms of many of the government rescue programs so far. http://money.cnn.com/2009/03/23/news/com....I honestly think these Sunday "news leaks" are nothing but to prop up the Markets on Monday. We have come dangerously close to technical breakdowns in the market, and so far hype is the only thing that has saved the day.  By the way, Mish calls this "a Gigantic Confidence Game" which makes a lot of sense. http://globaleconomicanalysis.blogspot.c.... |
Equalitarian
Posts: 39
Incept: 2009-01-20
SW Ohio
|
Any projections on how far down the road this latest "news" has kicked the can?
|
Mo
Posts: 12158
Incept: 2007-06-26
Pa.
|
Isn't this RTC without the takeover first?
----------
Welcome to Pottersville
|
Perfectstorm
Posts: 211
Incept: 2008-02-25
florida
|
RTC liquidated...they did not partner or backstop. If this is the new RTC it is "Resolute Taxpayer Cocking".
|
Bozonian
Posts: 19892
Incept: 2007-09-01
Saratoga Springs, New York
|
Let's just wait and see what Meredith Whitney has to say about this. I'm sure she needs time to research.
----------
Forget about blaming, fighting with, or crediting other people. The only real challenge in life, is with yourself. -- Me
Everything I write is my opinion and not to be considered proven fact. Nothing I write should be considered financial advice.
|
Kuhio
Posts: 208
Incept: 2008-12-31
|
My interest isn't so much in the plan details, but how Congress will react. My belief is that a cadre of Democratic Representatives, like Brad Sherman, have been studiously following KD, Mish, et al, and are beginning to develop enough confidence to confront both the Fed & Treasury.
I think we are moving beyond debate about specific plans like TARP, TALF and PPIP, and into the arena of who really has the legal & moral authority to direct this country's recovery efforts.
Regardless of whether or not insiders can 'game' the system under PPIP, which is of course a very significant concern, the much larger issue that speaks to the very future of our representative Republic is the question of who really is in charge.
|
Bozonian
Posts: 19892
Incept: 2007-09-01
Saratoga Springs, New York
|
Isn't this entire thing a "game". It's a sleight-of-hand to trick people into buying assets that have no basis of rising value. Why would anyone invest in it now, when they could invest in it later, after we bottom, for even larger gains?
If you try to run a market on hype, you're just going to get another collapse days or weeks from now.
Despite this rally, SRS is only down 9%. It's definitely not tracking against the broader S&P as it normally does (even though it's tied to IYR). So the commercial real estate sector isn't rebounding as much as the rest of the market here. Strange, as that's what this new plan targets almost directly.
----------
Forget about blaming, fighting with, or crediting other people. The only real challenge in life, is with yourself. -- Me
Everything I write is my opinion and not to be considered proven fact. Nothing I write should be considered financial advice.
|
Tesla
Posts: 15543
Incept: 2008-04-03
State of Disbelief
|
Remember also - this summer the 2010 election season will get underway, with incumbents and candidates making their views known on the issues. If there is not a huge uptick in the markets, the incumbents get hosed like in 1994.
I think we will start to see politicians start to break with those who are associated as supporting these various bailouts and AIG bonuses and whatever other populist crap we get fed ion the meantime.
It should start to get interesting politically this summer.
----------
"Even a dog knows the difference between being stumbled over and being kicked." -Justice Oliver Wendell Holmes
"Neither the wisest Constitution nor the wisest laws will secure the liberty and happiness of a people whose manners are universally corrupt." -Samuel Adams
|
Statusquojoe
Posts: 2784
Incept: 2008-11-20
Land of the fees Home of the slaves.
|
Sec. Treasury wrote..No crisis like this has a simple or single cause, but as a nation we borrowed too much and let our financial system take on irresponsible levels of risk. Those decisions have caused enormous suffering, and much of the damage has fallen on ordinary Americans and small-business owners who were careful and responsible. This is fundamentally unfair, and Americans are justifiably angry and frustrated. From my limited understanding of the issues, didn't the .gov cause a lot of this reckless speculation and borrowing by guaranteeing all sorts of loans from Fannie and Freddie on? Government sponsored moral hazard has a lot to do with the overall problem IMO.
----------
There are so many rules no one knows which rules to follow. The only sure rule is more rules will follow. SQJ.
|
Aliveh
Posts: 4047
Incept: 2008-01-18
Los Angeles
|
A very important detail: only TARP banks can sell loans and securities using this plan. "The Eligible Assets must be purchased solely from financial institutions from which the Secretary of the Treasury may purchase assets pursuant to Section 101(a)(1) of the Emergency Economic Stabilization Act of 2008 ("EESA")."
Looks like part of the circle-jerk to keep the PDs afloat so they can keep buying treasuries.
|
