If there's one thing I hate it's when someone puts a bunch of coherent words together in one firmly written paragraph and it isn't me. My sense since the late-January price peaks is that the subprime loan problems, the surfacing of credit quality issues, the unwinding of the yen carry trade, the apparent increase in risk-aversion, central banks tightness- all are manifestations of a reverse in liquidity flows-- out of excessively risky, speculative situations, and towards safety. And this has just started... Can this be the case or are Goldman and the others just going to scoop up these supposed bad loans and make out like bandits. I'm still paying my mortgage and everyone I know is even those that filed for limited bankruptcy protection. This meltdown scenario is it hype or real? There's a long article I ripped out of the times Crisis Looms In Mortgages and they've been just so wrong about everything the past few years... this all could be hype driven excuse for a sell off. Can't decide.