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holy cow does this mean what I think it means?
http://www.nytimes.com/2009/04/20/bu...1&ref=business
What happens now?
1) If the bank goes BK i assume now the public loses everything,
with debt financing I assume more money would be recoverable.
According to both Matin Weiss, and Reggie Middelton, (google them)
both JPM chase, and Goldman Sachs have tremendous amounts of CDS exposure. something bad happening could make these the next lehman.
2) If the gvt becomes the majority shareholder will we have the banks once again making loans to people who cant afford to pay them back?
3) Is this legal? Congress controls the purse right? If they feel slighted will they shut off money?
4) Is it a coincidence that the gvt wants to take an equity stake after the banks have rallied?? :eek:
http://www.nytimes.com/2009/04/20/bu...1&ref=business
What happens now?
1) If the bank goes BK i assume now the public loses everything,
with debt financing I assume more money would be recoverable.
According to both Matin Weiss, and Reggie Middelton, (google them)
both JPM chase, and Goldman Sachs have tremendous amounts of CDS exposure. something bad happening could make these the next lehman.
2) If the gvt becomes the majority shareholder will we have the banks once again making loans to people who cant afford to pay them back?
3) Is this legal? Congress controls the purse right? If they feel slighted will they shut off money?
4) Is it a coincidence that the gvt wants to take an equity stake after the banks have rallied?? :eek:
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