Some street level proof…perfect!

The guy on the street who filled the box…that was the banks themselves. Sure the traders should have looked in the box, saw what was being sold to them before leveraging it and selling it around the world. And they probably did. But once again, the banks made it so profitable the “blind-eye” was as predictable a Wall Street reaction as it was a mortgage broker reaction.

Banks are at the core of this and the proof will be as I said above, when the dust clears and nobody can get a mortgage from any source other than a bank…and of course, when investment firms, wholesale lenders, private mortgage insurance companies, etc…have their fair share of bankruptcies…yet no major depositor bank does.

There is more going on here than meets the eye. There is power grab in regulatory authority where the Fed is trying to usurp the Treasury, the SEC, OFHEO, HUD, The Comptroller of the Currency, and the mortgage crisis is handing them the opportunity.

If they win, banks win. It’s that simple. And they will win by pointing out the “fact” that investment firms, GSEs, wholesale mortgage lenders, and some non-depositor banks, all needed “bailing out” or actually went under. They can then point to the entities under their control – depositor banks – and say, “Look what we were in charge of is fine. Put us in charge of all of it and you’ll never have another debacle like this again”. And sadly that might just work…

Thank goodness for blogs and comment sections so I can come back in 3 years and say, “I told you so…”

The Emirates have cash and know to buy stock during a downturn. Buy low, sell high. It’s not complicated.

Sheesh. Can we get back to REI tips & practices? These “high brow” posts are mostly a waste of time.

Is it really so hard to believe? Bear Stearns is not a bank…they are an investment firm…and who bought them…JP Morgan Chase…a bank….at less than $10 a share…with the first billion insured by the Government.

Sounds like another bank got a sweetheart deal…kinda like when BofA gets Countrywide with an enormous servicing portfolio for less than $8 a share.

Citibank was on tilt at the beginning of the year (as much from bad credit card lending as subprime loans) but the sovereign funds of Singapore and the Middle East step in. Have those funds stepped in to help any other industry…investment firms, mortgage lenders, etc.?

Gosh it’s almost as if they scripted it, eh? If they had actually gone under…you might have something …but they didn’t.

I’ll bet you dollars to donuts when this is all over…not 1 major bank…depositor bank…goes under. As a matter of fact, they will be stronger at least that’s what Abu Dhabi’s investment arm and Prince Alwaleed bin Talal are betting on…

My guess is they know something we don’t….or is that a “conspiracy theory” too?

But did the banks engineer this? No. Don’t be silly. To believe that you’d have to believe that Bear Stearns committed suicide and that Citibank is risking the death of its entire organization just to squeeze out residential mortgage brokers. Um, no. This is a false conspiracy theory.