govt bail out of fannie mae and this monday...SP tanks or soars?

Discussion in 'Trading' started by increasenow, Sep 6, 2008.

  1. govt bail out of fannie mae and this monday...SP tanks or soars?could be another hype news and nothing happens...
     
  2. Hank Criminal Paulson is going to make the US taxpayers take on $5 Trillion of ZZZZ rated debt.

    It should crash the global economy; let's see what happens.

    To those wanting capitulation, be careful what you ask for.
     
  3. i think short term rally led by financials, how far? i have no clue, short term dollar strong as alot of the debt is held by foreigners not us here in the US, <<THAT will give the fed more inclination to cut rates once again so long term dollar bearish.

    you also gotta factor in a possible hurricane looming in the gulf on monday and monday should be very interesting
     
  4. One way to view the issue is rather simple.....

    What happens ....no Paulson bailout...

    What happens....Paulson bailout



    No Paulson Bailout....

    Initial 15% haircut all bonds.....

    Short term confidence failure by foreigners limits credit supply....

    Prices adjust to more normal levels....

    The foreigners get to be big bag holders...

    ......................................................

    Paulson bailout

    Prices slower to adjust to normalcy....

    Confidence by foreigners improves....

    US taxpayers get to be big bag holders....

    ...................................................

    So much for capitalism...

    The Sec/Treas keeps his tax free take which was dependent on this very asset class.....along with the other bonus keepers....

    Ironically, Venezuela is nationalizing its banks as is the supposed capitalist US....

    It is getting harder to tell the difference between large US corporations versus the US government....
    ......................................................

    Time for change is an understatement......
     
  5. And what do we call this?

    fascism.
     
  6. You must be mistaken-- We have the MBA president who understands wall st to guide us. Surely he would not let this happen? Or was there a womens doubles beach volleyball game this weekend and he missed the meeting?
     
  7. S2007S

    S2007S

    I think they have taken to long to come up with a plan that will satisfy anybody at this point, I think they are throwing so many ideas out there to fix this problem that the problem itself lies within what they think is the answer to fix this entire credit crisis. To see 2 multi billion dollar companies created by the government fail makes you wonder where regulation actually is and why they let it get out of control the way they did.
     
  8. Mr. fucking "Contained" is caught in his lies yet again.

    If a CEO of a company can be sued by shareholders for making false material statements, why then can't idiot T-Sec Criminal Hank be sued for making false material statements? The "class" in the class action suit would be just about everyone on the planet.
     
  9. The Fed has no margin call to deal with.

    I think in 2 -4 years housing will be up again, the Fed will have major gains....maybe enough to bailout SS
     
  10. Great news on this.. I am short the 10 yr and 30 yr......may get a home run trade on Sunday afternoon/ Monday morning.........any projections on where this yield will open on Sunday?
     
    #10     Sep 6, 2008