i thought i would start this thread to keep a journal of all the quotes in one place. kicking off with some bernanke comments from the last few months in relation to the subprime mess here goes: 2007-06-05: Subprime: "Thus far, however, we have not seen major spillovers from housing onto other sectors of the economy." ... "We will follow developments in the subprime market closely. However, fundamental factors--including solid growth in incomes and relatively low mortgage rates--should ultimately support the demand for housing, and at this point, the troubles in the subprime sector seem unlikely to seriously spill over to the broader economy or the financial system." (Remarks to the 2007 International Monetary Conference, Cape Town, South Africa) 2007-05-17: Subprime: "We at the Federal Reserve will do all that we can to prevent fraud and abusive lending and to ensure that lenders employ sound underwriting practices and make effective disclosures to consumers," ... "We believe the effect of the troubles in the subprime sector on the broader housing market will be limited and we do not expect significant spillovers from the subprime market to the rest of the economy or to the financial system" ... "We must be careful not to inadvertently suppress responsible lending or eliminate refinancing opportunities for subprime borrowers" ... "[The] vast majority of mortgages, including even subprime mortgages, continue to perform well." (From remarks made at a financial conference in Chicago)