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Politics : Politics for Pros- moderated -- Ignore unavailable to you. Want to Upgrade?

To: Oral Roberts who wrote (295274)	3/6/2009 10:41:40 AM
From: MulhollandDrive	Respond to of 793912

forbes is quite wrong about that... you can suspend mark to market tomorrow and the banks will still be zombies (at least the ones that have the CDS exposure) in a nutshell, extreme amounts of 'insurance' was written for the banks that have no backing....that's why AIG is dirivatives black hole...money gets shoveled out the door to pay the counterparties for LOSSES as fast as they can take it in (the first $20B went straight to GS)...pretending the 'marks' (losses) are marked to some mythical number won't make them go away and WS will still pound the zombies down to zero...my understanding is that the 'stress test' geithner proposes is to find out where the banks really on their balance sheet....unfortunately he appears to think that should be done so we can obliterate more money a la AIG to the walking dead...and i will further add that i believe all semblance of CONFIDENCE is destroyed....who is going to believe turbo tax timmeh anyway?