The Last of Lehman Brothers

https://www.bloomberg.com/features/...hD3oc7yfLalTEPFtjevrQMiy7Zgi0mxg_l2LGGm2vVSdw

 

Can't read it. Behind the paywall. Elitetraders can't afford Bloomberg.

 

Worked OK for me, and I'm poor.

Sad when things collapse like that....

 

Amazing that 14 years later we are still pondering this shit. Look forward, not back.

 

I think there's a lot to be learned from that era. Bubbles were meant to be popped.

 

Maybe we should not form a bubble in the first place. It seems we are doing well on that front by not repeating the mortgage problem so far.

Small moves into the Dodd-Frank/Volcker era. Have we learned, and will we maintain it?

 

Dodd-Frank was an atrocity. And the money printing in recent years dwarves anything in '08.

 

The crux of the problem is the idiots at the Federal Reserve is always too little too late. What took them so long to realize that we were in an inflation? Even my little kid has been saying for a while that the prices were too damn high. Shame on them.

 

There are parallels to the 2007-8 bubble at least in terms of Fed mismanagement.

Subprime is contained == Inflation is transitory

Of course the Fed's lack of knowledge of the depth of the shadow banking system in 2007 is what really doomed their analysis. And their insistence that real estate never goes down on a national level. Looks like their economic history only goes back to the post WW II period.

I learned a lot by reading The Big Short, mainly that were quite a few people who knew it was going to collapse apparently except the major players involved. Even they knew at the end with them buying CDS' against their own CDOs. And then there were the morons at AIGFP.

 

Can you point us to a post of yours last July or August when it became clear that inflation persisted and prices started creeping up across the board? After all it was so crystal clear according to you...