Category Archives: financial crisis

Fannie and Freddie

How are Fannie and Freddie linked to the housing crisis and why did they do it? By April 2008, according to a document prepared for then-Fannie Mae CEO Daniel Mudd and marked “Confidential — Highly Restricted,” Fannie’s $312 billion in … Continue reading

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Car czar

This is how government auto bailout will work according to IBD… Here’s the broad outline of what we believe will essentially be an in-place nationalization of a major American industry: • The government will name a “car czar” to rule … Continue reading

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Journalists….

be careful what you wish for. Media: Some journalists out there seem to be actually rooting for a new economic depression — the very thing that will hurt them more than it will hurt many others.

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California lawmakers just don’t get it.

Unbelievable. “While the state is wallowing in a $28 billion deficit over the next 18 months, newly-elected lawmakers got new cars. From $32,000 hybrids to $46,000 Cadillacs, their new rides will cost taxpayers an estimated $1.3 million.” These folks need … Continue reading

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Chart of the Day

A look at the magnitude and duration of previous market sell offs. Visit the Chart of the Day website here and get your free subscription.

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How Dow?

Hopefully all the leverage is getting flushed out of the system. These end of the day selloff’s are getting really old. A small silver lining is the Asian stock markets are not falling in line. Below are single day (Friday) … Continue reading

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A Rally!

Signs of life on Wall Street today. Instead of puking out stock at the end of the day, everyone was buying.

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Asian markets don’t look good

Asian markets don’t look good this evening, tomorrow mornings open in Europe and the US markets could be ugly.

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Sell the Market at the close

Large selling, with the possible exception of Tuesday, on the Dow Jones Industrial Average at the close for the last 5 days.

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Economic issues hurting Republicans

John Hinderaker over at Powerline has a rather dismal, but probably realistic update on Republican chances for the upcoming election. With a month to go, the election is looking bleak for us conservatives. The current economic crisis should, by rights, … Continue reading

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Look in the mirror….

Now that the bubble has burst and the “systemic risk” is apparent to all, Frank blithely declares: “The private sector got us into this mess.” Well, give the congressman points for gall. Wall Street and private lenders have plenty to … Continue reading

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Pelosi: Do your job

I’m sure Nancy Pelosi dislikes George Bush much more than Clay Evans does. That leaves very little doubt that screwing the Republicans and George Bush is much more important to here than passing the bailout plan. Powerline has some interesting … Continue reading

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Fannie and Freddie the root of the problem

An IBD editorial written by Fred L. Smith of the Competitive Enterprise Institute addresses how Fannie and Freddie are at the heart of the financial crisis. Going back in time… But eight years ago, when I testified before Congress that … Continue reading

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Republican Study Committee has a plan…

Read about it over at OpenMarket.org. Here’s the meat and potato’s and some comments on mark-to-market… The RSC plan is chock-full of measures to remove barriers to economic growth and market-distorting subsidies. It would suspend capital gains taxes to put … Continue reading

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Modify “mark to market” and short sale rules

This accounting rule is forcing financial institutions to write down their debt securities to ridiculously low values which only causes the problems to “trickle down”. I’m not necessarily advocating getting rid of it. Apparently mark to market rules came after … Continue reading

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Asian stock markets open lower

(click to enlarge) Get your asian stock market quotes here. Most major asian stock markets have opened down between 4 – 5%.

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MSM Amnesia

How come no one in the MSM remembers Barney Frank setting the table for the current financial crisis? Fortunately, John Hinderaker at Powerline refreshes our memory as he reviews a 2003 NY Times article. As you will see, Barney Frank … Continue reading

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How did we get into this mess

“All the Republican’s voted for it, all the Democrats, including the current chairman Chris Dodd, voted against it.” The video contains this warning from Alan Greenspan which fell on apparently deaf Democratic ears. I’m not a big fan of Greenspan, … Continue reading

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