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


To: Ken98 who wrote (85252)8/17/2007 9:43:06 AM
From: Paul Kern  Read Replies (2) | Respond to of 110194
 
The fed didn't cut. It gave banks borrowing at the discount window a break to keep cash in the system and allow them to make their reserve requirements since they were unwilling to lend to each other at 5.25 per cent fed rate.



To: Ken98 who wrote (85252)8/17/2007 11:27:36 AM
From: Haim R. Branisteanu  Read Replies (2) | Respond to of 110194
 
my 2 cents are that a tsunami of lawsuits from all over the world will land on NYC shores first with rating agencies then with investment banks.

Banks financial institutions and investors lost tens of billions by buying into the financially engineered commercial paper rated AAA or AA only to realize now it is junk.

The music will stop even if interest rates will go to ZERO it is a great credibility issues that will haunt the US for a long time