He says $1Trillion in sub prime and if it loses 50% of value only $100 B in losses? Is it his math or mine? Boy he just doesn't look happy to be the Fed chairman right now. Then went on to say several multiples of $100B possible?! No clue? LOL now we are getting the Fed inflation spin, this should be good.
Tension is starting to build as we near 1350 on the S&P. We might finally get the capitulation needed for a short term bottom.
Watching Congress and Bernanke's testimony it is even MORE CLEAR that most of Congress has no clue about what is going on . . . One Congressman was worried about whether or not a short-term stimulus would potentially hurt the AAA rating of the U.S. Treasury Bond 10 YEARS FROM NOW. Another Congressman ( female ) had Bernanke mixed-up with Paulson and asked Bernanke a question based upon his experience as a CEO at Goldman Sachs. Unfreaking-believable!!!
"Oh Yeah, he's the other one" (Congress woman mixing up Fed Chairman with Treasury Sec. as being former CEO of GS) . LOL, a budget committee member who doesn't know who the Fing Fed Cheif and Treasury Sec are. That alone should tank the markets!
The House Budget Committee has absolutely ZERO clue. All of them should be voted out . . . One guy just stated that TAX CUTS have cost the American taxpayer money . . . And that extending the Bush tax cuts would be a "bad" thing. Can you imagine what an absurd piece of logic that is??? :eek:
Now you know why CA is in such financial trouble. The representative that made the statement is from CA. What's frightening is that he knows exactly what he's saying. It's not like he's a moron. It's intentional and part of the Dem plan to socialize America. Only a Marxist would make that kind of statement.
Looks like the market didn't like the comment about lending being tight in the jumbo loan market and the nonexistant sub prime market. They should run a chart of the market on the screen like they do voters reactions during the political debates
I think the major tank coming could be possible unless the market rallies on just anticipattion of a 50bp cut out of the blue which is not going to happen. DOW 12k here we come.