Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: benwood who wrote (87625)	10/12/2007 4:31:43 PM
From: CalculatedRisk	Read Replies (4) \| Respond to of 110194

WSJ: Banks Discuss Solution To Liquidity Problem online.wsj.com Note: Interesting that this came out right after the market closed. Excerpt: The largest U.S. banks along with financial regulators are in confidential discussions to find a solution for a lack of cash liquidity in one corner of the short-term debt markets, according to people familiar with the situation. The plan, which has been in the works for three weeks, is aimed at helping bank-affiliated investment vehicles that issued tens of billions of dollars in short-term debt, including commercial paper. According to the people familiar with the situation, the plan would be to create a "super conduit" that would issue short-term debt and serve as a buyer of assets currently held by so-called SIVs. These assets include securities tied to U.S. mortgages as well as debt pools called collateralized mortgage obligations.