The bankers are our friends

Ivan
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Ivan
Edited Date/Time 1/24/2012 8:25pm
Listening to the bankers tell it to the House committee, they are kind and good and never did and never will do anything to cause anybody any problems. Furthermore, they like Barney Frank and Maxine Waters.
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dougie
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dougie 2/11/2009 10:42am
2/11/2009 10:42am
Some of those poor guys are only making $1 a year. I heard it with my own ears.
WhKnuckle
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WhKnuckle 2/11/2009 11:13am
2/11/2009 11:13am
When the history of this economic meltdown is written, it will say that the whole thing was caused by bankers who created a ponzi scheme to make high risk loans, then wrap up the loans into derivatives and hedge against them, and eventually it became obvious that those 200 billion dollars in loans they claimed on their list of assets was really worth about 50 billion dollars, and if the banks wrote those assets down to their real value their banks were insolvent, so they kept trying to shuffle the deck and beg for more money from the government rather than tell the truth and write down the value of those assets. The fact is, the banks are trying to protect their stock price, which protects the bankers' personal fortune, and they're doing it at the expense of the entire world economy. When historians look at this whole affair, they're going to say that those bankers should have been in jail for fraud because they're carrying assets on their books at much higher than their true value, and they're doing it for the simple purpose of supporting the value of their personal stock holdings.
TG37
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TG37 2/11/2009 12:59pm
2/11/2009 12:59pm
Exactly right.
txmxer
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txmxer 2/11/2009 1:14pm
2/11/2009 1:14pm
I think that congress will get it's share of "credit" for this mess.

You think those asshats didn't have all kinds of conversations with these bankers? The bankers have been feeding them all kinds of BS about how much worse it would be if congress makes them publicly admit just how hard and how long they've been f@#king the public? And gentle reminders about how much campaign contributions they have provided over the years?

Yep, the bankers will take a hit, but I hope the incompetence and corruption of congress takes the lead story.

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WhKnuckle
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WhKnuckle 2/11/2009 1:22pm
2/11/2009 1:22pm
Well, Congress screwed up when they knew banks were engaging in quasi-Ponzi schemes and they didn't do anything about it. I'm sure they knew they COULDN'T do anything about it because the idea that Bush would sign a bill to regulate the trading of derivatives is laughable. At this point, I don't think Congress really wants the banks to all write down their losses at once because so many of them will fail that FDIC insurance claims would be overwhelmed instantly. There's no way in hell we can cover all the FDIC implications of mass bank failures. The time to fix this was 6 years ago - at this point, it's all damage control.
race
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race 2/11/2009 1:35pm
2/11/2009 1:35pm Edited Date/Time 4/16/2016 10:27pm
When you invest $30 and only have $1 to back it ... you are in big trouble in a hurry when things turn south. Why were some of those investment firms ever allowed to bump up to 30:1 ? They shouldn't even be allowed to go 10:1 given their complete ineptitude.

All kinds of blame to go around.

Ivan
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Ivan 2/11/2009 3:23pm
2/11/2009 3:23pm
race wrote:
When you invest $30 and only have $1 to back it ... you are in big trouble in a hurry when things turn south. Why were...
When you invest $30 and only have $1 to back it ... you are in big trouble in a hurry when things turn south. Why were some of those investment firms ever allowed to bump up to 30:1 ? They shouldn't even be allowed to go 10:1 given their complete ineptitude.

All kinds of blame to go around.

Word!. Leverage was the big killer.
anyday
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anyday 2/11/2009 3:34pm
2/11/2009 3:34pm
guys everywere is busted and its every man for himself nobady is helping anyone anymore just saving there own ass,
CR250Rider
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CR250Rider 2/11/2009 3:38pm
2/11/2009 3:38pm
letters to consider in the equation:


CRA

ACORN

DODD

BARNEY
jmar
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jmar 2/11/2009 4:51pm
2/11/2009 4:51pm
race wrote:
When you invest $30 and only have $1 to back it ... you are in big trouble in a hurry when things turn south. Why were...
When you invest $30 and only have $1 to back it ... you are in big trouble in a hurry when things turn south. Why were some of those investment firms ever allowed to bump up to 30:1 ? They shouldn't even be allowed to go 10:1 given their complete ineptitude.

All kinds of blame to go around.

Ivan wrote:
Word!. Leverage was the big killer.
And if you or I went to the bank ask for a loan with the same 30 to 1 deal?
jmar
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jmar 2/11/2009 4:56pm
2/11/2009 4:56pm
WhKnuckle wrote:
When the history of this economic meltdown is written, it will say that the whole thing was caused by bankers who created a ponzi scheme to...
When the history of this economic meltdown is written, it will say that the whole thing was caused by bankers who created a ponzi scheme to make high risk loans, then wrap up the loans into derivatives and hedge against them, and eventually it became obvious that those 200 billion dollars in loans they claimed on their list of assets was really worth about 50 billion dollars, and if the banks wrote those assets down to their real value their banks were insolvent, so they kept trying to shuffle the deck and beg for more money from the government rather than tell the truth and write down the value of those assets. The fact is, the banks are trying to protect their stock price, which protects the bankers' personal fortune, and they're doing it at the expense of the entire world economy. When historians look at this whole affair, they're going to say that those bankers should have been in jail for fraud because they're carrying assets on their books at much higher than their true value, and they're doing it for the simple purpose of supporting the value of their personal stock holdings.
jmar
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jmar 2/11/2009 4:58pm
2/11/2009 4:58pm
I have always known you were a bright guy.

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