What good is stock in BAC if your economy fails and the system collapses? It may not have come to that , but are you ready to roll the dice? Some people bang trannies without a condom, they want the full experience. Maybe you're a 'thrill seeker'. I like what they did. I expected it in advance.
possible scenario, if merril goes bankrupt, all the bond holders get screwed,they point to usa as fraud and sell evreything they own or collect on everything we owe them,the markets collapse and we have a depression,i think this is what Paulson told the congress/senate when they agreed to bailout,this result of them going after Lewis probably explains why there haven't been 50 people indicted for securities fraud,what or who is the SEC and what exactly do/dont they do
ML collapsing would not have killed the country any more than Bear Stearns or Lehman's collapse. That's a scare tactic that the master salesmen on Wall Street and their cronies at the Fed and in Treasury peddle like a hot stock and have been ever since LTCM. And the idiots in Washington and elsewhere believe it!
What bullshit. Let's say ML went bankrupt. Big deal. You own unsecured stock or bonds? You knew the risk when you bought it. No different than an internet fly-by-night. Show me any example or evidence or even specific scenario where a collapse of one company or two or three or whatnot, in a large diverse economy sinks that entire economy. It's complete utter spin, nonsense. Kind of shit brokers and banker spout on CNBC. Kind of like we have to pay these folks who blew their company up a lot of money because they are too smart to lose. How America buys that one just shows how bad the American education system has become.
braintrust, in case you didn't notice or your short term memory is defective they did this same shit ALL OVER THE WORLD. But only you know what is right.
Dude, I spend half my time in Sydney, and trust me Australia is not in recession and China is still cooking at 3% to 4% growth a year. Yeah, Wall Street fucked up Europe bad. But the decoupling theory is reemerging, or at least a semi-decoupling. America is fucked because they don't let the companies fail. Instead they print money, trash their own currency and will slowly slowly bleed to death
A few things we will find out years from now: 1) Watch dogs over at the SEC were paid off by Madoff to turn their heads. 2) Bear Stearns' demise was initiated by the big brothers of Wallstreet [Paulson and his cronies had the Fed pull their repo lines] 3) Lehman Bros' collapse had something to do with how the Bear Stearns incident went down. LEH was a primary treasury dealer, they were sold up the river [overnight repo lines were pulled] 4) "Systemic risk" was a phrase Paulson created while sucking down whiskey at a bar with his Wallstreet cronies. (How else can you explain his horrible communication skills?) 5) Thain received a BOATLOAD of $ from an "anonymous" bank in Cyprus from the BoA deal.
Total horseshit that belies your ignorance on the matter. The problem is easily fixed by the same contractual dissolution the Government used to marry BoA and Merrill, fuck Bear, and force GM into bankruptcy.
One thing must be clear : a self cleaning process must occur in the US financial industry. I can' t read anymore about the cesspool of outright fraud, misleading statements, lies and deceit ! Bernanke, Blankfein, Lewis, Pundit, Kovacevich, Dimon, Mack : <object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/RJXl3UDyN0k&hl=en&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/RJXl3UDyN0k&hl=en&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>
The Fed's participation in this deal was totally standard, I cant see anything criminal about this. They have the power and the duty to work with bank managements, they do this almost weekly, they have the power to get management to step down by threatening enforcement actions against bank managements. If Bernanke needs to go to jail for this, then every fed chairmain since 1913 needs as well The disclosure issue, Fed General Counsel Scott Alvarez instructed the fed not to ask anything about it, so they did not encourage material information to be hidden from shareholders, altough some kind of implicit pressure probably occured