Title: The Banker Who Said No
Gabecpa - April 6, 2009 10:58 PM (GMT)
Space Monkey - April 8, 2009 05:20 PM (GMT)
This guy recognized the market inefficiency and acted accordingly. Now where is sheik to tell us all that MPT is baloney...... :rolleyes:
| QUOTE |
He thinks the government is going to be "disappointed" by its various programs to revive lending. He says Treasury Secretary Timothy Geithner's new plan to guarantee loans to buyers of toxic assets won't lead to many sales because the problem isn't liquidity but price. They are not low enough. Half the country's banks--4,000 in all--would be bust, he says, if they marked their loans to what the loans would fetch in an auction. He says banks are fooling themselves by refusing to mark busted assets down.
"Banks are on a prayer mission that somehow prices will come back and they won't have to face reality," Beal says. And that reality, according to Beal, is going to get a lot worse. "Unemployment is going over 10%, commercial real estate hasn't even begun collapsing and corporate credit defaults are just getting started," he says. His prediction: depression, without bread lines this time, thanks to the government safety net, but with equal cost to society. |
Gabecpa - April 8, 2009 09:07 PM (GMT)
| QUOTE (Space Monkey @ Apr 8 2009, 11:20 AM) |
This guy recognized the market inefficiency and acted accordingly. Now where is sheik to tell us all that MPT is baloney...... :rolleyes:
|
Not only did he act accordingly, he had tha government 'regulators' attacking him for not being stupid.
More regulation! I don't care what it is, just regulate something! :spaz:
Space Monkey - April 8, 2009 09:19 PM (GMT)
| QUOTE (Gabecpa @ Apr 8 2009, 04:07 PM) |
| QUOTE (Space Monkey @ Apr 8 2009, 11:20 AM) | This guy recognized the market inefficiency and acted accordingly. Now where is sheik to tell us all that MPT is baloney...... :rolleyes:
|
Not only did he act accordingly, he had tha government 'regulators' attacking him for not being stupid.
More regulation! I don't care what it is, just regulate something! :spaz:
|
:yup:
The market didn't fail. The lemmings who ignored basic portfolio theory and the regulators who were too inept to even qualify as lemmings failed.
civilde - April 8, 2009 10:50 PM (GMT)
| QUOTE (Space Monkey @ Apr 8 2009, 09:19 PM) |
| QUOTE (Gabecpa @ Apr 8 2009, 04:07 PM) | | QUOTE (Space Monkey @ Apr 8 2009, 11:20 AM) | This guy recognized the market inefficiency and acted accordingly. Now where is sheik to tell us all that MPT is baloney...... :rolleyes:
|
Not only did he act accordingly, he had tha government 'regulators' attacking him for not being stupid.
More regulation! I don't care what it is, just regulate something! :spaz:
|
:yup:
The market didn't fail. The lemmings who ignored basic portfolio theory and the regulators who were too inept to even qualify as lemmings failed.
|
ultimately the failings of a market can usually be traced back to people. unfortunately, people are kind of the core component of markets.
no one in particular - April 9, 2009 02:21 AM (GMT)
then we need to figure out how to sell shit to robots... and encourage them to learn how to shop.
OakBan - April 10, 2009 01:54 AM (GMT)
| QUOTE (no one in particular @ Apr 8 2009, 06:21 PM) |
| then we need to figure out how to sell shit to robots... and encourage them to learn how to shop. |
print more $$!
:lol: