On the Precipice, White House Clueless

Discussion in 'Economics' started by plugger, Feb 20, 2009.

  1. plugger


    They don't seem to get it. The market WANTS nationalization, they want liquidation and an orderly dissolution. The market does not want more of the same shit, an endless sinkhole.

    WASHINGTON -(Dow Jones)- Amid fears that Citigroup Inc. (C) and Bank of America Corp. (BAC) are on the verge of being nationalized, the White House gave assurances that it prefers banks to remain out of the government's hands.

    "This administration continues to strongly believe that the privately held banking system is the correct way to go," White House spokesman Robert Gibbs said Friday.

    Shares of Citigroup and Bank of America sunk to 52-week lows Friday as investors worried the government's efforts to revive the banking sector will be unsuccessful. Both companies played down the speculation that they will be taken over by the government.

    -By Henry J. Pulizzi, Dow Jones Newswires; 202-862-9256; henry.pulizzi@ dowjones.com

    (END) Dow Jones Newswires
    02-20-09 1422ET
    Copyright (c) 2009 Dow Jones & Company, Inc.
  2. The market is fearful that the banks will be nationalized.
  3. You have everything exactly backwards.

  4. Daal


    This is a fnm and fre repeat. the market WANTED government to save them so it could rally, it was kept depressed till paulson acted. The rally was killed by the LEH fears though
  5. You don't seem to GET IT.
    And the market coming all the way back reflects that.

  6. G-Boa


    I don't GET IT either...but the market coming back - yeah baby!! Bring me in the green!!!!
  7. Say government save C and BAC, market will rally for two days. Then market will ask, who is next? maybe JPM? Then the market will tank again.

    The repeat of last Sept and Oct.