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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: 10K a day who wrote (31814)	3/29/2008 10:33:45 AM
From: Rolla Coasta	Read Replies (1) \| Respond to of 218708

The Fed obviously knows how corrupt the system really is. They know someone need to go to jail. Too sad to see scapegoating and cultural blame game are the way of life in USA. It is part of their culture which is pretty retarded.

To: 10K a day who wrote (31814)	3/29/2008 10:55:23 AM
From: elmatador	Respond to of 218708

fed dropping 11 billion on pallets??? no 100billion. Regional Banks Will Pump Another $100 Billion into Mortgages David McNew /Getty Images On Monday, the Federal Housing Finance Board agreed to let the regional Federal Home Loan Banks take an extra $100 billion in mortgage-backed securities for the next two years. The loans must have been guaranteed by Fannie Mae and Freddie Mac, who were allowed last week to take on an additional $200 billion in subprime mortgage debt. (FTAlphaville, US boosts regional banks, March 25, 2008) Let's total up how much the Federal Government has pumped into the economy to salvage the Subprime Mortgage Crisis and resultant The Federal Reserve and the Banking Liquidity Crisis $200 billion from Fannie and Freddie. $30 billion from the Fed to JP Morgan Chase for its rescue of Bear Stearns. $200 billion loan from the Fed. $200 billion in loans the Fed made through its Term Auction Facility. There were eight auctions held between December 20, 2007 and Mach 24, 2008. That's a total of $730 billion in subprime mortgages that the Federal Government has guaranteed. What It Means to You In all likelihood, the Federal government's actions have avoided a financial meltdown. Although it is possible that the economy is already headed for a recession, it will be less painful than if the government had done nothing. However, if Fannie, Freddie, the Fed and now the Federal Home Loan Banks get stuck with the $730 billion in bad debt, then this will cost taxpayers almost six times as much as the Savings and Loan Crisis, which "only" cost the taxpayers $124 billion. The worst case scenario is that this debt would get added to the $9 trillion national debt, which is a chronic situation that continues to depress the dollar and raise the price of imports.