Friday, October 09, 2009

Quote Of The Day..... "The Defaults Are Worth It "

Looks like i was spot on ....."the Phony Mae & Fraudie Mac pain wasn´t enough......."

Sieht ganz so aus als wenn ich nicht ganz verkehrt gelegen habe......."der Phony Mae & Fraudie Mac Schaden doch noch nicht hoch genug war....... "

A Troubled Portfolio

U.S. Mortgage Backer May Need Bailout, Experts Say NYT

Barney Frank, the Massachusetts Democrat who is chairman of the House Financial Services Committee, said in an interview that the defaults were, in essence, worth it.

“I don’t think it’s a bad thing that the bad loans occurred,” he said. “It was an effort to keep prices from falling too fast. That’s a policy.”

With an insured mortgage exposure already running well over $ 600 billion & spiking higher on a daily basis one has to admit that this clown has CHUZPAH! I suggest to read the entire NYT link.... Lots of stuff that makes a GOLDBUG happy......

Wenn man sich jetzt vor Augen führt das sich die o.g. Institution bereits jetzt für über 600 Mrd $ an wackeligen Hypotheken geradesteht und tagtäglich massivst neue Garantien schreibt muß man diesem Clown zumindest zugestehen das er CHUZPAH hat.....Ich empfehle sich den folgenden Link der NYT komplett durchzulesen.....Läßt das Herz eines GOLDBUGS höher hupfen......

The HYPOCRITE himself in 2005.......



Rolfe Winkler has nailed it a few weeks ago!

Rolfe Winkler hat es bereits vor einigen Wochen treffend formuliert...

"It’s equally likely the agency will continue to be a conduit through which the Obama administration funnels cash to the housing market"

Over $600 billion of loans backed by the end of this year — many very risky due to very low downpayments — but no chief risk officer….
Especially worrysome when the Fed is the only buyer of agency debt right now......

Das ganze wird noch amüsanter wenn man bedenkt das die Fed momentan der einzige Käufer in diesem Marktsegment ist.....

More on this topic

House Hearing on FHA Capital Reserves Home Economics
Bailout watch, US Federal Housing Administration edition FT Alphaville
FHA Bailout Seen Calculated Risk
FHA: Next Bailout? NC
The Sound Of One Hand Clapping Chris Martenson

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3 Comments:

Anonymous eh said...

jmf,

Just watch the market ignore this mess...schon wieder.

This guy has also done some good writing on all of this.

A 40% default rate is not bad judgment. It is a crime.

Treffend.

3:21 AM  
Blogger jmf said...

Moin Eh,

it really feels like a daily flashback.....

I´m watching GOLD and the NOK..... :-)

Thanks for the link..... He nailed it.....

The next bubble is already in the making.....

3:28 AM  
OpenID homeecblog said...

“It was an effort to keep prices from falling too fast. That’s a policy.”

Priceless! And we wonder why real wages have dropped for the last 30 years.

Inflate, inflate, inflate, and when the consumer starts to ask too many questions... find ways to sell them items at 100% LTV.

It's the American dream.

8:02 PM  

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