Tell me again how borrowing 10B/wk from China to fight the war in Iraq, with money on the ground in Iraq, was a good idea? With the world facing credit swaps in the high trillions, and no liquidity, banks and agencies globally are addressing the problems of It's a Mad, Mad World.
Stateside, as this whole macroeconomic Gordian knot begins to unravel, the vultures are circling. From Bloomberg comes tales of deals with Wachovia. Check out their site for more information. Does the right hand know what the left hand is doing? Get it together, people!
After the financial crisis, institutions will be reducing their leverage.
The process is rapid and painful – and has global effects. However, economists are unsure as to what the effects will be.
Hang on to your coats and hats. Incidentally I love the new depressionware fashion. Reminds me of Paper Moon, Ry Cooder "Into the Purple Valley", Woodie Guthrie, and railroad tracks. Special thanks to Craig Ferguson: Schadenfreude? Sigmund Freudy!!!
Calling Elliot Ness to the IRS!
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