note... as of april Tarp was still out over 100 billion of hte 414 billion they say it cost. and they say that they never intended to recover 46 billion of foreclosure relief. so to me it looks like the govt is still cooking the books. Plus as stated before if this "payback" includes those mbs... I doubt the value they give them right now is anywhere near the fair market value.
also note... I believe the govt is handing out a trillion a year with fha loans.. Those loans have very little cushion... they start with 3.5 percent down... but the sellers frequently rebated that cost. until that trillion a year is safe... this is all a bunch of shannigans. What if we were at real interest rates... what if we were not devaluing out dollar.
I'm not pissed because I am short, nor am I even short. But you are a fool if you think the Fed crowding out everyone else in the debt market and flooding over 1 Trillion into the market every year is a good thing - especially when it is yielding such meagre economic results as we're getting now. How do you suppose this will be unwound? Or will it? You sound like a Bernanke apologist.
LOL, seriously, these threads never change. Achilles28 and Tsing Tao throw a bit of truth syrum into the mix and the usual suspects start their routine of put downs. Anyone who is critical of the Fed is a "disgruntled short seller". None of the apologists can begin to wrap their heads around how the Fed will unwind this, but then again they believe all the bullshit they are being fed.... Just like interest rates are at all time lows because of "great investor demand". There must be something in the water.
It won't mean shit if asset confiscation becomes a part of a longer term plan to "reduce the deficit".
Biederman has gone on record for the past three years saying the fund inflows have become at complete odds with the market's run-up. Hell, he sounds more conspiratorial than anybody on this thread. "trillions on the sidelines". I've heard that line for as long as I can remember...didn't matter if the market was up, down or sideways...always those billions and trillions on the sidelines.
Read this very s-l-o-w-l-y: The US does Italy, Spain, Portugal and Greece in 4 Years. We don't have "20-30 years" to sit around with our thumbs up our ass.
Obviously you are not an American, and you probably hate America. I saw your other thread, and did not care to comment. But I will just add that you are extremely emotional and show no traits of an excellent trader, and if you think the US (and the world) will not grow - and you want to bet against it - go ahead. I would suggest going to sleep on a runway at Kennedy instead. I am very interested to see what your reaction will be to all of this 3 years from now. You say the GDP has not even changed. I guess you haven't even bothered to look at actual GDP, let alone compared to the world, instead of just looking at the rates of change. http://www.usgovernmentspending.com/us_gdp_history