Glad to know you're moving to Dubai.
Bond-insurer woes may trigger more write-downs
Doubts on AAA ratings for Ambac, MBIA spark turmoil in muni bond
market
'The destruction of the bond insurers would likely bring write-downs
at major banks and financial institutions that would put current write-
downs to shame.'
-- Tamara Kravec, Banc of America Securities
http://www.marketwatch.com/news/story/bond-insurer-woes-may-trigger-more/story.aspx?guid=%7B590076D4%2DFB70%2D4304%2DB6B4%2DC444A554401C%7D&dist=TQP_Mod_mktwN
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| User: "Pers3id" |
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| Title: Re: Got your bug out bag ready, Mr. Cheney? |
21 Jan 2008 11:29:12 AM |
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John Lemke <jflemke@locallink.net> wrote in
news:a4a0bbcd-3a91-44ce-a13f-3e44465b3ad3@s12g2000prg.googlegroups.com:
Glad to know you're moving to Dubai.
Bond-insurer woes may trigger more write-downs
Doubts on AAA ratings for Ambac, MBIA spark turmoil in muni bond
market
'The destruction of the bond insurers would likely bring write-downs
at major banks and financial institutions that would put current
write- downs to shame.'
-- Tamara Kravec, Banc of America Securities
No doubt.. forced sales of bonds at depressed prices since the credit
quality fell below minimum requirements by institutional players is
going to drive bond prices down and yields up.. all the while the Fed
is trying to lower interest rates to spur growth.. it's the Irony of
all Time, the market and all it's players actively working AGAINST the
Fed as it tries to prevent an implosion.
Another $200 Billion in bank write-downs means potentially another
$2 Trillion in destroyed credit and money. This of course is all
deflationary and will drive prices down even further. I'm seeing
a death spiral here.
http://www.marketwatch.com/news/story/bond-insurer-woes-may-trigger-mor
e/story.aspx?guid=%7B590076D4%2DFB70%2D4304%2DB6B4%2DC444A554401C%7D&di
st=TQP_Mod_mktwN
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| User: "Woodswun" |
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| Title: Re: Got your bug out bag ready, Mr. Cheney? |
21 Jan 2008 12:24:48 PM |
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On Mon, 21 Jan 2008 11:29:12 -0600, Pers3id wrote:
John Lemke <jflemke@locallink.net> wrote in
news:a4a0bbcd-3a91-44ce-a13f-3e44465b3ad3@s12g2000prg.googlegroups.com:
Glad to know you're moving to Dubai.
Bond-insurer woes may trigger more write-downs
Doubts on AAA ratings for Ambac, MBIA spark turmoil in muni bond
market
'The destruction of the bond insurers would likely bring write-downs
at major banks and financial institutions that would put current
write- downs to shame.'
-- Tamara Kravec, Banc of America Securities
No doubt.. forced sales of bonds at depressed prices since the credit
quality fell below minimum requirements by institutional players is
going to drive bond prices down and yields up.. all the while the Fed
is trying to lower interest rates to spur growth.. it's the Irony of
all Time, the market and all it's players actively working AGAINST the
Fed as it tries to prevent an implosion.
Another $200 Billion in bank write-downs means potentially another
$2 Trillion in destroyed credit and money. This of course is all
deflationary and will drive prices down even further. I'm seeing
a death spiral here.
Apparently, so does the rest of the planet. Markets are dropping
significantly everywhere that I've seen.
Woods
http://www.marketwatch.com/news/story/bond-insurer-woes-may-trigger-mor
e/story.aspx?guid=%7B590076D4%2DFB70%2D4304%2DB6B4%2DC444A554401C%7D&di
st=TQP_Mod_mktwN
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| User: "Pers3id" |
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| Title: Re: Got your bug out bag ready, Mr. Cheney? |
21 Jan 2008 01:02:35 PM |
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Woodswun <woodswun@tepidmail.com> wrote in news:4794e370$0$24086
$4c368faf@roadrunner.com:
On Mon, 21 Jan 2008 11:29:12 -0600, Pers3id wrote:
John Lemke <jflemke@locallink.net> wrote in
news:a4a0bbcd-3a91-44ce-a13f-3e44465b3ad3@s12g2000prg.googlegroups.com:
Glad to know you're moving to Dubai.
Bond-insurer woes may trigger more write-downs
Doubts on AAA ratings for Ambac, MBIA spark turmoil in muni bond
market
'The destruction of the bond insurers would likely bring write-downs
at major banks and financial institutions that would put current
write- downs to shame.'
-- Tamara Kravec, Banc of America Securities
No doubt.. forced sales of bonds at depressed prices since the credit
quality fell below minimum requirements by institutional players is
going to drive bond prices down and yields up.. all the while the Fed
is trying to lower interest rates to spur growth.. it's the Irony of
all Time, the market and all it's players actively working AGAINST the
Fed as it tries to prevent an implosion.
Another $200 Billion in bank write-downs means potentially another
$2 Trillion in destroyed credit and money. This of course is all
deflationary and will drive prices down even further. I'm seeing
a death spiral here.
Apparently, so does the rest of the planet. Markets are dropping
significantly everywhere that I've seen.
I noticed that. S&P500 futures are down 55 points. Tues morning when the
opening bell rings, we could have a market crash. No time to take positions
now.. if you're not where you want to be then it may be too late to get
there at this point. Even Bush's Plunge Protection Team (PPT) won't be
able to stop the carnage.. and if anyone thought China's internal demand
is going to step up and replace the loss of the US market demand for
China's trinkets, then they are sorely mistaken. China is going to
crash right alongside the US.
Woods
http://www.marketwatch.com/news/story/bond-insurer-woes-may-trigger-mor
e/story.aspx?guid=%7B590076D4%2DFB70%2D4304%2DB6B4%2DC444A554401C%7D&di
st=TQP_Mod_mktwN
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| User: "Marvin The Paranoid Android" |
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| Title: Re: Got your bug out bag ready, Mr. Cheney? |
21 Jan 2008 03:33:49 PM |
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John Lemke wrote:
Glad to know you're moving to Dubai.
Bond-insurer woes may trigger more write-downs
Doubts on AAA ratings for Ambac, MBIA spark turmoil in muni bond
market
'The destruction of the bond insurers would likely bring write-downs
at major banks and financial institutions that would put current write-
downs to shame.'
-- Tamara Kravec, Banc of America Securities
http://www.marketwatch.com/news/story/bond-insurer-woes-may-trigger-more/story.aspx?guid=%7B590076D4%2DFB70%2D4304%2DB6B4%2DC444A554401C%7D&dist=TQP_Mod_mktwN
Yes! I read this.
I'm not an economist but I have sense this is a very, very, very bad thing.
Cities and municipalities could be in trouble when it comes to debt
financing infrastructure projects, etc. Not good. Not good at all.
Cheers,
Marvin
--
I don't smoke. I smell like bread. Life is Good.
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