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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Road Walker who wrote (355626)	10/22/2007 7:52:09 AM
From: steve harris	Respond to of 1587265

lol Greenspan should tour with Carter, save fuel.

To: Road Walker who wrote (355626)	10/22/2007 4:14:45 PM
From: tejek	Respond to of 1587265

I don't agree with this part of his view......the banks are putting what they call a ring around their bad loans....isolating them and putting up money to cover the losses. They are reporting their losses, some of which are massive, during the Sept quarter......that's why the banks are down big. I have to admit I haven't read the Paulsen proposal so I don't know how that will work but I don't think the banks and their hedge funds are getting off scott free. That might work if there were no good reason for investors to be worried. But in this case, investors have very good reasons to worry: the bursting of the housing bubble means that someone, somewhere, has to accept several trillion dollars in losses. A significant part of these losses will fall on mortgage-backed securities. And given this reality, the “conduit” looks like a really bad idea. I’d put it like this: Investors aren’t putting their money to work because they don’t know where the bad debts are. And when investors need clarity, the last thing you want to be doing is pumping out more smoke. Mr. Greenspan’s take, expressed in an interview with the magazine Emerging Markets, seems broadly similar. “If you believe some form of artificial non-market force is propping up the market,” he said, “you don’t believe the market price has exhausted itself.”