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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: Joe Stocks who wrote (69455)	9/7/2006 3:02:30 PM
From: Mike Johnston	Read Replies (1) \| Respond to of 110194

Remember JPM’s “problems”. Suddenly they went away. A ‘stealth bailout’ is put in place. I wrote about this several times on this board as far back as 2 years ago. I am glad i am not alone in having made this observation. After having suffered billions in losses in Argentina and telecom debacle, JPM went from the verge of bankruptcy (rumors) to the cover story in Barron's titled "Stronger than ever" in a period of about one week.

To: Joe Stocks who wrote (69455)	9/7/2006 3:33:07 PM
From: bart13	Read Replies (1) \| Respond to of 110194

Greenspan: “Owing to persistent advances in information and computing technologies, the structure of our financial institutions is continuously changing, I trust for the better. But that evolution in financial structure has also meant that supervision and regulation must be continually changing in order to respond adequately to these developments. In today's markets, for example, there is an increased reliance on private counterparty surveillance as the primary means of financial control. Governments supplement private surveillance when they judge that market imperfections could lead to sub-optimal economic performance.” Emphasis mine, and ipso facto per the chart below:

To: Joe Stocks who wrote (69455)	9/7/2006 7:22:26 PM
From: mishedlo	Respond to of 110194

Beige Book Highlights globaleconomicanalysis.blogspot.com Mish

To: Joe Stocks who wrote (69455)	9/7/2006 7:24:44 PM
From: mishedlo	Read Replies (2) \| Respond to of 110194

Interesting post. The question is will Bernanke be as quick to bail out those as Greenspan was? The next question is, even if he is, will it matter? I suspect he will actually be slower. But I suspect he will try damn hard once he sees what is happening. But I suspect once again that it will be impossible to do as there are no bigger bubbles to be blown. Mish