In early 2007 Paulson and Bernanke became aware that there were problems and the economy was in jeopardy. Their first move was to protect the elite (their peers, i.e. Goldman, JP morgan, etc.). Bernanke probably thought that rate cuts, sharing key information with a few of the elite, and doling out Fed largess would solve [...]
“A billion here, a billion there, and pretty soon you’re talking about real money.”
WASHINGTON (AP) — The Treasury Department said Monday that it will provide $5 billion to GMAC Financial Services LLC, the ailing financing arm of General Motors Corp., from the $700 billion bank rescue program.
The government will receive preferred shares that pay an [...]
Investors poised to scoop up Wall Street bargains, hope for Santa Claus rally
NEW YORK (AP) — Investors head into a holiday-shortened week with optimism that recent moves to prop up the ailing auto industry and slash interest rates might trigger a year-end rally.
Like the deep discounts luring holiday shoppers to the malls, the steep drop [...]
Consumer Reports may be good for testing a blender or a toaster but when it comes to anything more complicated such as cars and computers, CR is about as trustworthy as a garbageman advising you on stocks.
Look at the educated automotive testing such as JD Power or Edmunds. In most of the Categories, GM and [...]
It seems that Paulson friends still need to buy some more Xmass presents. 350B$ was not enough.
WASHINGTON (AP) — Treasury Secretary Henry Paulson said Friday that Congress will need to release the last half of the $700 billion rescue fund because the first $350 billion has been committed.
Paulson said the use of the rescue [...]
Congressman warns that auto-bailout could lead directly to fascism in America
Texas Congressman Ron Paul has hit out at US monetary policy, warning that fear based politics are being used to promote the bailout culture in the same way they were used to sell the Iraq war.
“Governments that want to take over, undermine our liberties and [...]
Major banks on the edge of collapse.
Auto industry facing bankruptcy.
Retail sales plummeting.
Unemployment numbers accelerating.
Housing market crumbling.
Ponzi schemes making a comeback.
Major retailers filing for BK.
Stock market down almost 50% from the highs.
Treasury notes yielding Zero.
Credit Default Swaps over 5 times GDP looming out there.
Commercial real estate market starting to crack.
(Did I forget anything?) Oh ya, $8 [...]
WASHINGTON (AP) — The White House weighed its options Saturday for preventing a collapse of the troubled auto industry, once the backbone of the U.S. economy. So far, the only thing certain is that the Bush administration wants to avoid the possibility of a disorderly bankruptcy of any of the Big Three.
General Motors Corp. and [...]
Providing for Consideration of H.R. 7321, Auto Industry Financing and Restructuring Act, before the House of Representatives, December 10, 2008.
I rise in opposition to the rule and the underlying legislation. It doesn’t take a whole lot to convince me that we are on the wrong track with this type of legislation. And at great risk [...]
Investors were emboldened by remarks from federal officials who assured that they would not let the Detroit auto industry collapse, including comments from the White House that it would consider drawing on the $700 billion that Congress already approved for assistance to banks and financial institutions.
But some analysts have been saying that investors have priced [...]
Jimbo Cramer’s candor a month ago is to be appreciated take heed: Bullish investors should turn into shrinking violets as the stock market continues it’s shocking downward spiral, CNBC’s “Mad Money” host Jim Cramer told Ann Curry on TODAY.
In what Curry called a “dramatic statement,” Cramer emphatically urged any investor who has money they may [...]
It’s the worst so far and going to get worse.
Economists don’t realize how a service economy eats its own tail and drags itself down. Why do I realize this and not them? Good Question. People will cut back on services such as eating out (and paying tips), a week longer between haircuts, paying for any [...]
The United States is but one example of the problem. The U.S. is a major destination for Chinese goods. As consumers in the U.S. pull back on everything from TVs to automobiles to clothing to electronic gadgets, overseas manufacturers must adjust to the diminished demand. And just as the U.S. auto industry has no “Plan [...]
(J. Ronald Trost in the NY Times DealBook) The American automobile industry is too big to fail. The loss of jobs and the adverse impact on the suppliers and perhaps many financial institutions is simply too great not to be addressed. The private capital markets cannot solve the problem. Federal government assistance is needed.
What are [...]
The white-collar criminals in Washington who are looting the U.S. Treasury and stealing trillions of dollars from taxpayers.
That’s what this financial bailout really is, of course: A grand, desperate swindle that seeks to wring every last cent out of the U.S. dollar before the coming currency collapse. A collapse of the value of the U.S. [...]
Stumble It!