Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Buffett backs Treasury plan. Says market meltdown is 'an economic Pearl Harbor'
Houston Chronicle ^ | Sept. 24, 2008 | ERIK HOLM

Posted on 09/25/2008 12:53:45 AM PDT by FocusNexus

Billionaire Warren Buffett, calling turmoil in the markets an "economic Pearl Harbor," said his $5 billion investment in Goldman Sachs Group is an endorsement of the Treasury's $700 billion bank rescue plan.

"I am betting on the Congress doing the right thing for the American public and passing this bill," Buffett said on cable channel CNBC Wednesday. "I certainly have a vote of confidence in Goldman and vote of confidence in Congress."

Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke are pushing Congress to quickly approve the proposal to remove illiquid assets from the banking system. Buffett is buying a stake in New York-based Goldman after three of the investment bank's biggest competitors collapsed or were forced into emergency sales.

"I think the Treasury will pay back the $700 billion and make a considerable amount of money," Buffett said, adding that if he had $700 billion on the government's terms to buy distressed assets, he would. "Unfortunately, I'm tapped out."

(Excerpt) Read more at chron.com ...


TOPICS: Business/Economy; Extended News
KEYWORDS: 110th; bailout; buffet; buffett; economy; financialcrisis; paulson; rescue; treasury; warrenbuffett
Navigation: use the links below to view more comments.
first 1-2021-29 next last

1 posted on 09/25/2008 12:53:49 AM PDT by FocusNexus
[ Post Reply | Private Reply | View Replies]

To: FocusNexus

Yeah no conflict of interest here...


2 posted on 09/25/2008 12:55:44 AM PDT by Tempest (No more bailouts. No More Fear Mongers.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: FocusNexus
"I am betting on the Congress doing the right thing for the American public and passing this bill," Buffett said on cable channel CNBC Wednesday. "I certainly have a vote of confidence in Goldman and vote of confidence in Congress."

Sure you do Warren. Especially when the plan would remove all of the toxic debt from Goldman Sachs through a $700 billion dollar pump. This pump will be used to funnel trillions of dollars onto the taxpayer's back.

This would leave you, Warren, with a very tidy profit - and the real problem would not even be fixed.

3 posted on 09/25/2008 1:00:08 AM PDT by politicket (Palin-tology: (n) - The science of kicking Barack Obambi's butt!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: politicket

>> This would leave you, Warren, with a very tidy profit

Shhhh! You’re not supposed to know that!

How did you find out? You didn’t hack Warren’t yahoo email, did you?


4 posted on 09/25/2008 1:07:46 AM PDT by Nervous Tick (I've left Cynical City... bound for Jaded.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: politicket

I reserve criticism on Warren. The man was right on .com, right on derivatives, right on housing bust when everyone called him a fool. Meanwhile he makes 30% per annum for 40 years now.


5 posted on 09/25/2008 1:13:49 AM PDT by TDT
[ Post Reply | Private Reply | To 3 | View Replies]

To: TDT

I was right about all those issues as well. But I don’t suffer from conflict of interest.


6 posted on 09/25/2008 1:19:49 AM PDT by Tempest (No more bailouts. No More Fear Mongers.)
[ Post Reply | Private Reply | To 5 | View Replies]

To: TDT
right on derivatives,

Then Warren can obviously see that the Credit Default Swap market is what is sinking all of the investment banks, not the mortgage paper that has yet to be sold to the bond market.

What's the solution to this?

7 posted on 09/25/2008 1:20:30 AM PDT by politicket (Palin-tology: (n) - The science of kicking Barack Obambi's butt!)
[ Post Reply | Private Reply | To 5 | View Replies]

To: FocusNexus

“”I think the Treasury will pay back the $700 billion and make a considerable amount of money,”

He’s future bullish, as always when a correction takes place, positive, unlike many of his colleagues who are all preaching doom and gloom which certainly can led to collapse.


8 posted on 09/25/2008 1:25:12 AM PDT by TDT
[ Post Reply | Private Reply | To 1 | View Replies]

To: FocusNexus

Warren says we should give him our money. No thanks.


9 posted on 09/25/2008 1:37:37 AM PDT by devere
[ Post Reply | Private Reply | To 1 | View Replies]

To: Tempest

If the “market meltdown is ‘an economic Pearl Harbor’”, then who played the part of the Japanese, and shouldn’t we declare war on them?


10 posted on 09/25/2008 1:59:55 AM PDT by plsjr (one of His <>< for Sarahcuda)
[ Post Reply | Private Reply | To 2 | View Replies]

To: plsjr

Warren Buffet is all about the little guy...more taxes to keep the LG out of the big house. I think he’s a tool!


11 posted on 09/25/2008 2:09:21 AM PDT by iopscusa (El Vaquero. (SC Lowcountry Cowboy))
[ Post Reply | Private Reply | To 10 | View Replies]

To: FocusNexus

NO BAIL OUT!


12 posted on 09/25/2008 2:19:18 AM PDT by PureSolace (God save us all)
[ Post Reply | Private Reply | To 1 | View Replies]

To: FocusNexus
"I am betting on the Congress doing the right thing for the American public and passing this bill," Buffett said on cable channel CNBC Wednesday. "I certainly have a vote of confidence in Goldman and vote of confidence in Congress."

...

"I think the Treasury will pay back the $700 billion and make a considerable amount of money," Buffett said, adding that if he had $700 billion on the government's terms to buy distressed assets, he would. "Unfortunately, I'm tapped out."

Thank you, Mr. Buffett.

13 posted on 09/25/2008 2:38:50 AM PDT by snowsislander
[ Post Reply | Private Reply | To 1 | View Replies]

Comment #14 Removed by Moderator

To: snowsislander
Thank you, Mr. Buffett.

I've got to hand it to Mr. Buffet; he's one very smart man in re money. If I had the money, I'd be buying everything in sight right now. As it is, I can do what buying I'm able to; lol, but yeah, I wish I had the $700B right now to invest, too! I have no problem grokking the profit he's going to make on the uptick; nor do I resent him for that.

15 posted on 09/25/2008 3:30:08 AM PDT by Alia
[ Post Reply | Private Reply | To 13 | View Replies]

To: politicket

...”This would leave you, Warren, with a very tidy profit - and the real problem would not even be fixed”...

Yes. I heard that he will get 10% return consistently and always on this deal. How would you like your small CD to earn that on a steady basis? Buffett is a big liberal and is one of those who gets richer and richer. In fact, the super rich seem to mostly exist these days in the Land of the Left.


16 posted on 09/25/2008 3:30:53 AM PDT by jazzlite (esat)
[ Post Reply | Private Reply | To 3 | View Replies]

To: FocusNexus

He’s tapped out. That’ a great line. Yes the gub with it’s army of regulators will make out okay. It’s a bookkeeping entry. These are assets backed by deed ultimately. Not like the dotcom where there was nothing but computers and chairs.

This is a 700b re-regulation bill. It’s got to be done ever so often. And once the bill is signed we can all point to the democrats who insisted on easy credit to get people into houses.


17 posted on 09/25/2008 3:32:09 AM PDT by kinghorse (Is market intervention a moral hazard if it stops people who arent forced sellers from selling out?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: FocusNexus

I think we are going down this time.


18 posted on 09/25/2008 3:32:57 AM PDT by bmwcyle (Vote McWhatshisname and PALIN)
[ Post Reply | Private Reply | To 1 | View Replies]

To: plsjr
"If the “market meltdown is ‘an economic Pearl Harbor’”, then who played the part of the Japanese,"

That would be the Democrats. They have been the enemy of this nation for a long time now. Declare war on them and put them in detention camps for about 20 years.

19 posted on 09/25/2008 3:34:10 AM PDT by Enterprise (No Oil for Democrats!)
[ Post Reply | Private Reply | To 10 | View Replies]

To: FocusNexus
Of course he does now that he invested $5 billion in GS, making $325 million in one day.
20 posted on 09/25/2008 3:37:11 AM PDT by tobyhill (fraud -noun;(1)deceit, trickery, sharp practice, or breach of confidence, (2) Obama)
[ Post Reply | Private Reply | To 1 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-29 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson