Today we will discuss the continuing financial mess and in particular the AIG “bail out”. We will start out with a lie that has NOTHING to do with the financial market to simply demonstrate how lies often “hide” in plain sight of anyone who bothers to look at them even casually.
Tune in today to learn,
- One of the biggest lies of the medical industry and how it shows us that a lie is best hidden in plain sight
- Why “the government” didn’t bail out AIG, but how taxpayers are funding the buy out
- How the Federal Reserve (a private company) now owns AIG, Freddie Mac and Fannie Mae, not the American people as we are led to believe
- Who will be next? Wamu, Goldman Sachs, Citibank, who? Perhaps many?
- The fallacy of FAS 157 and why financial assets are still not “marked to market”
- How the tin foil hat brigade is, at certain times, spot on
- Why the big foot to drop will be unsecured debt – 1 Trillion in toxic debt - That will never be repaid
Resources and Links for Today’s Show
- Which US Bank Will Fail Next? – Specifically note the quote by Gerald Cassidy, – “If you were to truly mark them to market, the decline in value could be too large for them to be able to digest without raising equity capital.” – Clearly FAS 157 is not being followed as claimed.
- Is Washington Mutual Going to be the Next Bank to Fail? – Note the facts on bad debt and adjustable rate mortgages along with a salary and bonus package of 20 Million Alan Fishman the new Chief Executive of WAMU.
- Washington Mutual Hobbled By Increasing Defaults on Option ARMs - Note facts from today’s show in this article, “Four percent of Washington Mutual’s option ARM portfolio probably will reset in the second half of this year and 13 percent, or $7.1 billion, will reset in 2009, according to the SEC filing”. Also note this quote, “About 83 percent of the option ARMs issued from 2004 to 2007 were underwritten without full documentation of borrowers’ incomes, Fitch said.”
- US Bancorp bad-loan cost may rise 25-28% – Note the confidence of this quote, ‘”Until we see loan losses absolutely going down, with certainty in more than one quarter, we’re going to continue to build our loan-loss provision — you should want us to do that,” Davis said’. – Is that confidence warranted, honestly I don’t know.
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