Freddie Mac and Fannie Mae

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I showed this article to somebody at work earlier, and when the page loaded the advertisement was for Lending Tree

[GG]

Well said.

 

I just grabbed some rounds to hang on to...nothing too much.

 

The stock market should get interesting. They are going to break 11,000 the way this looks, and I wouldn't be surprised if we test the 10,700-800 area. That would be a big signal to buy, and they could probably close at 11,000 right about where we are now.

 

2 PM is when the decision makers will come in.

 

Let me see if I understand this, while you're predicting the worst financial calamity since the Depression, you also advocating buying equities if they move 2% off the current price?

[finknottle]

Let me see if I understand this, while you're predicting the worst financial calamity since the Depression, you also advocating buying equities if they move 2% off the current price?

 

Pascals wager maybe?

[Dwight Drane]

Let me see if I understand this, while you're predicting the worst financial calamity since the Depression, you also advocating buying equities if they move 2% off the current price?

 

Technical bounce........

 

That would be on page 472 of your textbook.

[GG]

Technical bounce........

 

That would be on page 472 of your textbook.

 

And of course you'll be telling everyone to sell right at the top when your super-calibrated models show the exact market peak before disaster strikes?

[Dwight Drane]

And of course you'll be telling everyone to sell right at the top when your super-calibrated models show the exact market peak before disaster strikes?

 

You really are a pompous !@#$.

 

You were the scumbag that was telling everyone in January that everything is fine and that there would be a little blip of $200 billion written down for the ENTIRE banking sector, and that you should buy the dips. You have never answered me as to what you do for a living. You are either a teacher who lives in a nice cozy textbook world, or you work for the government.

 

I challange anyone to look at my posts in my history and look at the exact names I said were headed for the tank, and what would go up. I didn't put myself on the line to brag, I did it to warn everyone that this isn't some dipsy-doodle ride where everything is going to be ok.

 

To educate the teacher.......10,739 was the 2 year low for the Dow in the middle of no-mans land, and hitting that level would trigger a technical rebound 90% of the time.

 

Go ahead and start a debate about Alexander Hamilton's policies in 1792....meanwhile, I'm going to try and preserve any savings I have while you have a jackfest in the teacher's lounge.

 

 

This is people's lives, health, and well-being on the line. Please...everyone else who isn't a douchebag....go back and read my posts from March 18-19 "Incredible Shrinking Dollar" and the Oil Futures thread down the 1st page of PPP. Look at my record and tell me if I have led anyone wrong. It is up to every person what they want to do about the current situation, but I will not let some !@#$ lead you into a false sense of security.

 

We are in no-mans land now. There are no rules. The Fed and Treasury are going to do whatever they want from here on in.

 

You don't have to run to the mountains and bunker down, but please don't giggle and laugh this off. Between Iran, Russia, and China, this entire thing can fall apart any moment. GG said I was panicing on March 18. Look at what I said then and what has happened since. Was I panicing?

 

 

Sorry to be so blunt....but this is for real.

[GG]

You really are a pompous !@#$.

 

You were the scumbag that was telling everyone in January that everything is fine and that there would be a little blip of $200 billion written down for the ENTIRE banking sector, and that you should buy the dips. You have never answered me as to what you do for a living. You are either a teacher who lives in a nice cozy textbook world, or you work for the government.

 

I challange anyone to look at my posts in my history and look at the exact names I said were headed for the tank, and what would go up. I didn't put myself on the line to brag, I did it to warn everyone that this isn't some dipsy-doodle ride where everything is going to be ok.

 

To educate the teacher.......10,739 was the 2 year low for the Dow in the middle of no-mans land, and hitting that level would trigger a technical rebound 90% of the time.

 

Go ahead and start a debate about Alexander Hamilton's policies in 1792....meanwhile, I'm going to try and preserve any savings I have while you have a jackfest in the teacher's lounge.

 

 

This is people's lives, health, and well-being on the line. Please...everyone else who isn't a douchebag....go back and read my posts from March 18-19 "Incredible Shrinking Dollar" and the Oil Futures thread down the 1st page of PPP. Look at my record and tell me if I have led anyone wrong. It is up to every person what they want to do about the current situation, but I will not let some !@#$ lead you into a false sense of security.

 

We are in no-mans land now. There are no rules. The Fed and Treasury are going to do whatever they want from here on in.

 

You don't have to run to the mountains and bunker down, but please don't giggle and laugh this off. Between Iran, Russia, and China, this entire thing can fall apart any moment. GG said I was panicing on March 18. Look at what I said then and what has happened since. Was I panicing?

 

 

Sorry to be so blunt....but this is for real.

 

Still beating your chest? I'm glad to see that I'm the pompous one. Thanks for shattering the obnoxious trader stereotype. Maybe when they write textbooks about this housing debacle, they won't forget about the role that traders played in this mess and how they're helping the downward spiral. The only ones who are panicking is you and the fool on other side of the turret from you. The rest of the people just want to go on with their lives and hope that you & your ilk don't sink the ship.

 

Thanks for the constant reminder of St Patrick's Day. I take it it hasn't dawned on you that Bear was taken down exactly by chicken littles like you, and if there is a hope of a recovery in the financial markets it sure sounds like there's a call for grown ups to come back and restore some discipline to the kindergartners run amok.

 

ps - if we are really doomed, why do you still think that buying equities at any price is a good thing?

[Dwight Drane]

ps - if we are really doomed, why do you still think that buying equities at any price is a good thing?

 

Because Government Awads like yourself are still proping this up and lying through their teeth to get all the big boys out of this before it goes bye-bye.

 

 

See....when you put yourself on the line ahead of time all in the name of warning people what is going on behind the scenes, then you have a right to yell "please be careful...this isn't a small thing that went away."

 

The reality is....if the system goes down, everyone is F'd. No matter what preparations you make, you will suffer in some sense.

 

By the way, I do not trade for any company. We are private partners. I have been giving running commentary so that people could be prepared. I fully expect that if/when the 'banking holiday' takes place, that I will lose pretty much any profits built into the fund accounts. You see....since there are only $10 bids on certain securities that were borrowed against at $120......and the Fed lets the clearinghouse value those at $120, yet the clearinghouse values them at $10 to us....you are in what you call, a credit crunch. If said institution sold out our debt account, that institution would lose ALL THEIR PROFITS FOR THE PAST 3 YEARS just on our account alone.

 

I am stuck on the highway in a 30 car pileup, yet you try to tell everyone that there is no accident. Almost every other brokerage/bank is in the same situation.

 

I'll ask any objective poster to say whether I was beating my chest, or trying to emphasise the level of crisis we are in.

[finknottle]

ps - if we are really doomed, why do you still think that buying equities at any price is a good thing?

 

It pays to hedge against being wrong, particularly when being right basically get's you nothing.

[GG]

Sherman McCoy lives. Who is this "we" you speak of? Don't try to pawn off the self-made mess of the financial industry on the rest of the people who could care less how the sausages are made.

 

My heart breaks for your trading position that's now 1/10 of its value. Perhaps if you and your brethren didn't lever it at 10x in the first place, this conversation wouldn't be happening.

 

But I digress.

 

There you go, contradicting yourself again. And hyperventilating. Which one do you want to happen, for the government to stay out of the way and watch the world crumble or to try to restabilize the markets so that the kids can have their sandbox back?

 

Of course it's mess out there. But I'm glad there are people with a modicum of common sense still left in control.

[bills_fan]

I think we COULD, not necessarily WILL, end up in a global financial meltdown. The signs are there and we need something to relieve the pressure.

 

My guess is that the US Govt is doing everything it can to turn on all spigots of oil (Iraq, pressuring the Saudis, domestic drilling etc.) That will relieve the price pressure on the US consumer who accounts for 2/3 of GDP, enabling GDP to grow.

 

Growing GDP gives the Fed wiggle room to increase interest rates, thereby choking off inflation and saving the dollar. This will also expedite the drop in oil prices. If we can head off the inflation monster, we could just miss this storm.

 

Of course, now FNM and FRE are virtually insolvent, the gov't can't nationalize them (say goodbye dollar) nor can FNM or FRE stop issuing mortgages (think housing is bad now, FNM and FRE mortgages are the only ones getting done). I think one solution could be if the gov't provides a backstop to any failing loans to FNM or FRE...it could work. That way the gov't doesn't have to guarantee the whole friggin pie, just the bad pieces.

[Dwight Drane]

Sorry to everyone else for getting hot....but I would hope people would rather hear me say to be careful if you go into a certain neighborhood rather than shut up about it. There are no easy solutions. I know nobody wants to constantly worry. You don't have to. Just do yourself a favor and prepare for this as you would a hurricane or a blizzard at the very least. People were laughing at those buying silver a few weeks ago, yet silver is up 15% and the stock market is down 10% in less than a month.

 

I've said before, different ideas and DEBATE is fine. However, I will not stand for someone trying to defame a person that comes to this board with good intentions. If you make fun of someone for saying JP Losman is going to throw for 40 TDs this year, fine. Unless you are his agent, it really won't affect you like this current economic/geopolitical disaster does and will.

[Dwight Drane]

Sherman McCoy lives. Who is this "we" you speak of? Don't try to pawn off the self-made mess of the financial industry on the rest of the people who could care less how the sausages are made.

 

My heart breaks for your trading position that's now 1/10 of its value. Perhaps if you and your brethren didn't lever it at 10x in the first place, this conversation wouldn't be happening.

 

But I digress.

 

There you go, contradicting yourself again. And hyperventilating. Which one do you want to happen, for the government to stay out of the way and watch the world crumble or to try to restabilize the markets so that the kids can have their sandbox back?

 

Of course it's mess out there. But I'm glad there are people with a modicum of common sense still left in control.

Once again.....read my previous posts. I am more than willing to go down with the ship. It is on record, so don't attack my character.

 

I'm not looking for sympathy. Anyone else out there that thinks their money is safe in certain AAA funds, try and get your money out. I'm sure 99% of those lucky enough to have extra cash to put into a 401k or the like, just check a box, reinvest, and call it a day. I hate to say it, but there are many places that won't let you cash in because there is no market for the securities in the fund. Are you a New York State retired worker on a pension? Don't assume all is well.

 

Let's see....who were the rumormongers today? Paulson comes out and says they won't get involved. Stock goes down 40% on Fannie....Reuters comes out and says Fed will open the window to both. Stocks rally and Freddie goes positive. After the market closes and people are stuck with shares....The Fed denies that they are considering giving them cash.

 

There is a tornado headed for the sandbox, and I'm just trying to pick up as many of my toys as I can and run.

[GG]

And that's the part I don't get about you. You claim to be the Pied Piper for the little guy, yet you introduce trading in Fannie & Freddie as your example. What individual investor in their right mind would be caught dead with those stocks now? No one without immediate access to a trading terminal should be anywhere near those shares.

 

That's my advice. Ordinary people have no business actively trading because they don't have access to info or to a trade station.

 

If people are truly concerned - a treasury mmf is a good place to ride out the storm. That should be more than ok for 90% of the population. For the 10% that want to go on a ride should be very ready to get wet.

[Dwight Drane]

And that's the part I don't get about you. You claim to be the Pied Piper for the little guy, yet you introduce trading in Fannie & Freddie as your example. What individual investor in their right mind would be caught dead with those stocks now? No one without immediate access to a trading terminal should be anywhere near those shares.

 

That's my advice. Ordinary people have no business actively trading because they don't have access to info or to a trade station.

 

If people are truly concerned - a treasury mmf is a good place to ride out the storm. That should be more than ok for 90% of the population. For the 10% that want to go on a ride should be very ready to get wet.

 

 

Find me ONE PLACE WHERE I TELL ANYONE TO DO ANYTHING! The only thing I am saying to do is to prepare for a possible collapse. I did say stock your freezer, but I will not tell anyone to invest in any stock. I say what I am doing, why I am doing it, so keep an eye on things if you want.

 

I've never touched those two myself. It's too tied in to the government to begin with.

 

We are on a PPP board. If someone is interested in a topic, they can view it. I'm not on the Bills board screaming "Jesus is coming you fools!" I do chime in with possible economic conditions affecting the Bills, but the main talk is here. There are plenty of posters who have good ideas and bring worthy news here. Considering that today was another HUGE day in economic wares, I felt more than usual would be tracking the Dow and the markets, and said what I figured would happen.

 

I don't care if you think I'm cocky or emotional....just don't try and discredit my warning as having an alterior motive. What the hell can I gain? Oooh...maybe Lanka will think I'm hot in a nerdy sort of way!

[Dwight Drane]

PS

 

Bye-Bye IndyMac

 

Now.....the FDIC has $53 Billion. IndyMac has $18 Billion in deposits.

[Chef Jim]

Mind you I am not liquidating my stock investments, but taking the cash portion of my regular investments and diverting it to metals. It will only lose value if I put it in my regular savings account.

 

So let me get this straight. You're taking your cash, which may just be your best bet right now, and putting it into silver/metals which could very well have hit their peaks? Just checking.

[SD Jarhead]

So let me get this straight. You're taking your cash, which may just be your best bet right now, and putting it into silver/metals which could very well have hit their peaks? Just checking.

 

No, that's not correct. I recently sold my F350 dually that I used to pull the 5th Wheel I recently sold. I took the equity and invested it in silver. I am also for the immediate future going to divert the money that goes into my savings twice a month and begin purchasing silver vice placing it in my regular savings account. I have not touched my regular savings nor have I withdrew any of my CD accounts. When I said I was buying it as a hedge, I wasn't bullschitting. I haven't touched my IRA's, TSP or 401k and have no plans to.

 

I personally do not think that metals have come close to peaking. You may feel differently and are free to place your bets accordingly. The way the Fed keeps making money I think we're in for serious inflation which coupled with the bear market and real estate being in the schitter makes fertile conditions for metals to continue grow in price.

 

That's my bet. Why do you think cash is my best bet right now?

[East Brady]

The biggest rip-off in American history.

 

http://globaleconomicanalysis.blogspot.com/

[ExiledInIllinois]

Just a thought... You know historically... What do you think would be taking place right now if it wasn't 2008, but 1908?

 

Would our country be weathering (for lack of better word) such an economic mess without wild public unrest?

 

Of course times are different and one is never able to fully compare. Just saying, it seems people always hanker for a bygone time, a simpler time, even a time withou as much gov't innvolvement. What would thiings look like?... Would you want your faith totally in the private sector? Do people even remember what it was like? Heck, do they have relatives who remember what it was like? Would we all be beating down the doors to our bank with pitch fork in hand?

 

^^

 

Pretty nice post for my comeback after over a week off... Don't you think?