"...after the Fed said it would lend primary dealers up to $200 billion in Treasury securities and allow them to use agency and mortgage debt as collateral." http://biz.yahoo.com/rb/080311/markets_forex.html
Do it now or do it after the bank fails. Same thing - different agency names that's all. You get Existing Bank or you get New Bank With The Same Name. Ooops - one other difference - ET mumblers and hardboys want the bank to fail first. They feel better about it.
there is going to be pain -no matter how much fiddling the fed does. it will likely come in the form of inflation as we are papering over paper. creating money out of thin air and then more money to pay the interest and so on..
The question is does the FED now hold the deed title from the swapped mortgage backed securities? Remember those judges asking for the titles to prove that the mortgagee has the title. They wouldn'tact until proof of title ownership was proven. This is pure BS we have a centralbank holding MBS c r a p.....only in the U S of A.
No, can't happen absent your default as a homeowner. And for the gummint to wind up with it - you'd have to default and so would the bank that took an infusion under the new program. The problems in OH are a different thing - mostly mortgages moving around without be properly assigned from lender to lender to lender.... .
Moody's, S&P Defer Cuts on AAA Subprime, Hiding Loss (Update3) __________________ What a stupid fucking move on behalf of the FED. And the above headline is a stupid fucking move on MOODY's part. The Smoke & Mirror Games begin. The "SHEEOPLE" will dance in the streets and the bell will ring "DING DONG THE WITCH IS DEAD". I can only stand and shake my head, not knowing what the hell is going on, other than a very bad storm that is going to come down hard on the entire "US ECONOMY". I was short but had to cover as the futures indicated 260 plus pre market INDU open. I had my sell orders at Market and never looked back. I destroyed a "HUGE" profit but walk with a small profit, forced out by the "THE COLLECTIVE FOOLS". Lets see where we are in the next two quarters. I have a feeling that the FEDS will continue to prop up the markets, the 'SHeeople" will look as if they escaped a very bad recession and then, they system will bring one of the biggest sucker punches seen since 1929.
SOCIALISM AT ITS FINEST! And there are very few "PERMA BEARS" on ET. Most of ET are PIKERS trading 5k accounts and yelling "Sky's the limit". Facts madam, just the facts.