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

To: westpacific who wrote (86579)	9/19/2007 7:51:00 PM
From: $Mogul	Read Replies (1) \| Respond to of 110194

I now really beleive that our country is led by utter morons. They want to bash Greenspan for leaving rates too low and cutting too many times, and not this Fed cuts rates to do the same thing??? Talk about hypocrites. Sicking, and repulsive. Helicopter Ben deserves the recession coming, just for being a the leaderof the total morons. WASHINGTON (MarketWatch) -- Reaching out to hard-hit borrowers in the subprime-mortgage market, the House on Tuesday passed a bill that lowers down payments for borrowers, raises loan limits and boosts funds for housing counseling. Passed by a vote of 348 to 72, the bill reforms the Federal Housing Administration and is the latest lifeline thrown to borrowers from Washington as the fallout in the mortgage market continues. About two million loans are expected to reset to higher rates in the next two years, with defaults expected to follow. Congress and the White House have floated various proposals to stem the damage. The bill directs up to $300 million a year into an affordable housing fund. A motion offered by Rep. Jeb Hensarling, R-Texas, to kill the fund was rejected. 'We do not have a general program for helping build affordable family housing, and that's what this bill would do.' — Rep. Barney Frank, D-Mass "We do not have a general program for helping build affordable family housing, and that's what this bill would do," said Rep. Barney Frank, D-Mass., the chairman of the House Financial Services Committee. Lawmakers also passed an amendment to the bill offered by Frank that would raise the agency's loan limit from its current $417,000 to as much as $729,750. "Such an increase would ensure that FHA is a viable option for borrowers who have payment option and interest-only adjustable rate mortgages (ARMs), which will be resetting in the next few years," said Stanford Group Company analyst Jaret Seiberg. However, the Bush administration has registered opposition to that and other key parts of the House bill. "The program should remain targeted to traditionally underserved homebuyers, such as low- and moderate-income families," the White House said in a statement on Monday. The National Association of Mortgage Brokers supported the amendment raising the loan limit. "Because FHA has been driven from those parts of the country where consumers are most in need of affordable financing, such as California, millions of borrowers have been forced to turn to high-cost financing and other non-traditional loan products," wrote NAMB President George Hanzimanolis, in a letter to lawmakers. The bill eliminates down payment requirements on FHA loans. The requirement is currently 3%. Some Republicans opposed the housing fund. "A better approach is to dedicate the FHA surplus to shoring up the financial solvency" of an agency program, said Rep. Spencer Bachus, R-Ala. Frank, however, said that no money would go to the trust fund until FHA solvency was certified. The Senate Banking Committee is scheduled to debate its own FHA bill on Wednesday. President Bush would need to sign a final version for the bill to become law. In separate action on Tuesday, the House Financial Services Committee approved a bill granting new authority to the FDIC and the Office of the Comptroller of the Currency to write rules against deceptive lending practices. Traditionally only the Federal Reserve has had such powers. The bill would need to be approved by the House and the Senate to become law. Tuesday's House vote came as the Fed unanimously voted to cut its overnight interest rate target by a half percentage point to 4.75%, citing turmoil in financial markets as a threat to economic growth. See full story. "The tightening of credit conditions has the potential to intensify the housing correction and to restrain economic growth more generally," the central bank said in its statement Tuesday.

To: westpacific who wrote (86579)	9/20/2007 11:56:09 AM
From: John Vosilla	Respond to of 110194

'Game Over. The next Presidential Election will decide if America survives or dies' This is as ridiculous as the 1k DOW predictions and deflationary depression talk from you and a few others for many years.. No doubt J6P getting squeezed from globalization and the recent form of capitalism as US consumerism spreads across the globe.. Also Bush is the worst president by far since Hoover and the impact will continue to be felt for years to come but none of this means the smartest guy in the room is in long term treasuries, money markets or shorting this global economic boom... Great book by Robert Reich called 'Supercapitalism'. Suggest you and Mish read it before it is too late<g>