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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: GROUND ZERO™ who wrote (89112)	7/26/2009 8:30:29 PM
From: puborectalis	1 Recommendation Read Replies (1) \| Respond to of 94695

disagree wholeheartedly....blame to go around on both sides of the aisle.Look at the inept Treasury Secretaries under Bush.

To: GROUND ZERO™ who wrote (89112)	7/26/2009 9:17:37 PM
From: Larry S.	9 Recommendations Read Replies (1) \| Respond to of 94695

I've resisted commenting on your political comments because you contribute such valuable investment insights but I can't ignore your nonsense about the liberals being responsible for the problems faced by many who can't afford the houses they brought during the past 7 or so years. Yes, the liberals put through legislation that pushed Fannie and Freddie into granting mortgages to people that couldn't afford them. And, while it is good to give the less fortunate among us a break, it is not good to motivate them to get in over their head. However, while it helped sink Fannie and Freddie and their prior CEOs should be in jail with Madoff, Fannie and Freddie had almost nothing to do with our Credit mess or the masses of under water mortgages. If you had listened to David Faber's two-hour, House-of-Cards show, you would know that it was the big Wall Street firms in cooperation with the rating firms and helped along by the Green man that is responsible for the mess. Wall Street provided money to be lent without restorations when Fannie and Freddie were out of it. Anyone that could sign his or her name was granted a mortgage and the granting company deposited the fees. And Wall Street packaged them in traunches and got them rated AAA. They then sold them to unsuspecting others and deposited fees. Many changed hands several times with fees deposited each time. Fuld, former CEO of Lehman Bros., testified before a Senate Committee that no one expected the price of housing to drop and implied that the CDOs were expected to continue to monotonically increase in value. [If you believe he was telling the truth, you must believe in the tooth fairy. He simply couldn't bring himself to take the proper action because it would have cut his bonus dramatically.] I sat across the dinner table from the head of the Mortgage dept. of a large San Fran bank in 2006 and asked about a story in the paper about mortgages being granted with no money down for inflated evaluations. She politely told me that I was too old to understand. She said her bank couldn't lose because the price went up every year and that both her bank and those taking the mortgages were benefiting. I think she really believed. She said that Fannie and Freddie had nothing to do with her operation. She happened to be visiting here in NJ this past week and I spent some time talking to her. She is no longer with the Bank. She wasn't entirely clear, but I understood that, while she was aware of the mortgage companies taking money from Wall Street, her bank didn't. It borrowed all it needed from the FED. In any event, she still doesn't understand but she isn't getting the super large bonuses. You can also blame Clinton for signing the repeal of Glass-Steagall of 1933.