Let's clear out this queue
Jun. 15th, 2008 11:25 pm![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
solarbirdA brief intersection with politics: Condé Nast Portfolio reports on some of the special treatment VIPs such as Senators and other government officials got from Countrywide on loans. Basically it's more bribery, but this kind may actually be illegal, for whatever that means anymore. So was the Bear Stearns bailout, and that didn't stop anybody; and, of course, I imagine you read my political posts and aren't just hear for the economics reports. (Or are you?)
There's been another long-belated round of downgrades alt-a MBSes. (Full story here.) Kinda late with that, guys. This does not, I repeat, not reflect the next wave of housing downturn, the Option-ARM reset avalanche that has just barely started and amounts to around US$500B. That won't even get really ramped up until 2009.
For a refreshing after-disaster mint, this is a small homeowner relief programme that seems to have some potential. No, seriously, this is a perfectly good model, if small, and it's how this is going to be ground out in real life - slowly, and over time.
Meanwhile, A lot of banks continue to be in trouble, particularly with the first bare minimum acknowledgement that the monoline insurers can't actually pay on all those useless policies.. So do a lot of hedge funds.
Mish thinks the Fed is out of options and will have to pick between a rate hike or another ride down for the US dollar (and inflation) by the end of the summer. Part of the problem is that they are facing issues with their assets, thanks to all the new "facilities" invented to prop up the banks, who are busily hoarding cash.
I didn't know that Davidowitz & Associates's Howard Davidowitz was saying that Americans are just now starting to face a 20-year-long decline in standard of living. That should make for amusing elections. On the other hand, a lot of their definitions are pretty stupid.
I mentioned this in a previous post, but here's the repost: Global crude, both conventional and unconventional, saw a production drop in 2007. The Saudis are talking about adding 200,000 barrels per day production, which is probably going to send oil futures down tomorrow, until they remember that the plan is for two months only. But I could be wrong; oil futures in Tokyo were actually up a bit (US28c/barrel) this (Monday) morning.
There's been another long-belated round of downgrades alt-a MBSes. (Full story here.) Kinda late with that, guys. This does not, I repeat, not reflect the next wave of housing downturn, the Option-ARM reset avalanche that has just barely started and amounts to around US$500B. That won't even get really ramped up until 2009.
For a refreshing after-disaster mint, this is a small homeowner relief programme that seems to have some potential. No, seriously, this is a perfectly good model, if small, and it's how this is going to be ground out in real life - slowly, and over time.
Meanwhile, A lot of banks continue to be in trouble, particularly with the first bare minimum acknowledgement that the monoline insurers can't actually pay on all those useless policies.. So do a lot of hedge funds.
Mish thinks the Fed is out of options and will have to pick between a rate hike or another ride down for the US dollar (and inflation) by the end of the summer. Part of the problem is that they are facing issues with their assets, thanks to all the new "facilities" invented to prop up the banks, who are busily hoarding cash.
I didn't know that Davidowitz & Associates's Howard Davidowitz was saying that Americans are just now starting to face a 20-year-long decline in standard of living. That should make for amusing elections. On the other hand, a lot of their definitions are pretty stupid.
I mentioned this in a previous post, but here's the repost: Global crude, both conventional and unconventional, saw a production drop in 2007. The Saudis are talking about adding 200,000 barrels per day production, which is probably going to send oil futures down tomorrow, until they remember that the plan is for two months only. But I could be wrong; oil futures in Tokyo were actually up a bit (US28c/barrel) this (Monday) morning.
no subject
Date: 2008-06-16 07:43 pm (UTC)- paul