Posted on 10/10/2008 2:41:48 AM PDT by DoughtyOne
Edited on 10/10/2008 2:49:43 AM PDT by Jim Robinson. [history]
Bloomberg television states Bush to address the public later this morning.
Bloomberg states: “Bush to assure the American Public he’s going to do all he can.”
10:25am EDT
A legacy at any cost. Sadly, I think you are probably right about this...
There goes any hope for a rise in the DOW.
Screw that, he’s got a big spread in Paraguay to retire to.
A rather bleak tome to be sure.
I believe he sees it as his duty to calm and reassure the public. I don’t believe he is aware it could have an opposite effect.
My Father In Law is a Trader and a damn good one who has written articles for the WSJ and been on CNBC, Two of his sons also trade and do quite well.
Their view is that the markets are going to crash and all the Bail Out could do was to delay the crash. Well, the market is crashing now and the Bail Out has done nothing and will do nothing except put our children in debt for a Trillion Dollars.
The fact is that the Government cannot prop up markets.
See: Eastern European Socialism in the 20th Century.
If you had purchased $1,000 worth of stock in Delta Airlines one year ago you will have $49.00 today.
If you had purchased $1,000 worth of stock in AIG one year ago, you will have $33.00 today.
If you had purchased $1,000 worth of stock in Lehman Brothers one year ago you will have $0.00 today.
But, if you had purchased $1,000 worth of beer one year ago, drank all the beer,
then turned in the aluminum cans for the recycling refund, you will have $214.00 today.
Based on the above, the best current investment plan is to drink heavily & recycle.
It is called the 401-Keg Plan.
While I have no idea if this thing should have passed or not, I have to wonder what the effect would have been had it passed the first time.
I tend to think the momentum of this collapse might have been broken or at least slowed if the markets saw that the energy was there to take action.
It seems that the bailout NOT passing did nothing good. We all patted each other on the backs for the Republicans standing up to Pelosi...and then the bill passed, after it was loaded up with pork.
I don't think the slowing down is necessarily a bad thing. The market may have WANTED a huge pile of money tossed at it, but even if the bailout passed when originally voted on, would we be right back here in the same spot? Because if it was going to do something by being passed on Monday, well, three quarters of a trillion dollars doesn't just lose its momentum for being passed a few days later. We're not talking the difference between a $700 billion and $70 billion, or something--the bailout was still huge.
But if the whole point of passing it was to be as a psychological jolt, then timing really was everything.
I hope the uniforms are cool. I'm assuming something in gray so the North Koreans can afford them.
As Tanya Tucker famously sang, “It’s a little too late to do the right thing now.”
LOL, I’m not convinced he will have been the sole cause, but with Asia and Europe going postal, it’s fairly clear where we are headed later today. I don’t believe he could help right now, so it’s a wasted cause IMO.
I must say, at some point folks have to find enough inner strength to buck up and take advantage of some excellent prices. Bush can’t talk them into that. It’s something you do when you grow a spine.
Right now it seems there isn’t one in the nation. What concerns me is what the 401(k) funds are doing. Have they been locking in extreme losses for those funds, or have they been riding it out?
Actually Ford almost has enough cash to buy itself back and go private and take it off Wall Streets radar screen.
But it is not the Chapter 11 that concerns me, but Gedelfinger and Co (UAW) asking for their retirement plans (Now rapped into a "VEBA") to be absorbed and or bailed out by the Feds. Something that Glenn Beck actually predicted. We are moving way to fast towards a new socialism......
If I were a believer in conspiracies, I would be highly suspect of the timing of our financial collapse.
Bush, Paulson and others should be tried for treason and hung.
Save our country from socialism.
God save our republic.
wouldn’t hold my breath!
Most of the large institutions have off-balance-sheet vehicles where they tend to put more non-performing assets. They also categorize many of their assets as Level 3 or mark-to-model. As weaker financial institutions have gone bankrupt or into receivership during the credit market crises of the past year its been well-demonstrated that these accounting practices are overly optimstic.
Financial institutions have very sophisticated information systems to track all their assets, liabilities, cash flow, income and expenses in real time. This makes it possible for their leaders to be able to quickly get access to their numbers on Level 3 assets and off-balance-sheet holdings. However the general public is not able to accurately analyze these numbers due to the various regulatory standards that the banks' lobbyists have gotten passed over the years that allow the banks to have their own set of books for internal reporting and the public set of books that have proven to be way over-optimistic.
The fiat money systems of the global markets has had trust as its foundation. But the accounting rules on public reporting have made possible for the complete erosion of this trust. As a result the financial institutions don't trust each others numbers. And this is precisely why the credit markets are basically frozen. The LIBOR rates continue to spike. Anything else the governments and central banks around the world try to do to unfreeze the market is not working and will not work.
The world has a choice to make this weekend. Either have the central banks cut off funding to the banks that don't immediately start telling the truth. Or the credit markets will continue to stay frozen. If the current credit market dislocation is not resolved quickly then we'll see in the USA the same type of actions next week that Iceland is facing today. The number of business closing up and unemployment will skyrocket immediately and continue to do so until the credit markets are shut down for good once the last inkling of trust has evaporated.
Today the global markets are dropping by about 10%. I'm a believer in free markets. Its a shame that Bush & Co. have decided they'd rather see the whole world fall apart than risk letting their Wall Street buddies risk going under by being honest about the skeletons in their off-balance-sheet or mark-to-model closets. Without the honest truth ... the market isn't really free .... its just a vehicle for manipulating the world in enriching a few while screwing over the rest.
Now is the time to tell our Congresspeople and the President .... QUIT THE ACCOUNTING GAMES. IT'S DESTROYING OUR REPUBLIC RIGHT NOW. JUST TELL THE BANKS TO TELL THE TRUTH AND THAT MEANS GETTING RID OF MARK TO MODEL ACCOUNTING AND ALL OFF-SHEET-BALANCE TRANSACTIONS RIGHT NOW!!!!!
The last two presidential elections, we were forced to vote for the lesser of two evils (really scary when you think about the fact that it could be worse). And here we are again :-(
I’m sorry, but I just do not care what this president has to say anymore. He may as well hop a plane on down to his hidey-hole in Paraguay now.
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