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View Diary: Market Humiliates S&P — Rejects Downgrade (266 comments)

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  •  I agree on that (1+ / 0-)
    Recommended by:
    neroden

    but the opinions I was referring to were the tbills.  The market still judges them safer than most alternatives.

    The equities market rapid rise without the real economy returning to pre-recession levels had to be a bubble, manipulation to create wealth and bonuses for a few while the rest struggled to find food and shelter.

    It hurts my mom who lives on investments, it hurts my retirement, but at this point, I don't care what happens to equities other than the raid on pensions it represents.  That would have happened at the first plausible excuse, this last week provided two of them, the European situation and the downgrade.

    As for the banks, they've been zombies for a while.   This may be the final blow, suits to reclam money for AIG, still mostly government owned, suits by Freddie and Fannie, seems to me that some real money as opposed to the rather piddly fines so far might be paid out in those.  And someone will probably point at S&P's AAA ratings as a defence, bringing them in.   And the circle fuck becomes complete.

    •  The "dead cat bounce" after the 2008 crash (0+ / 0-)

      was an obvious, obvious bubble.  Particularly when it was led by the zombie bank stocks.

       I admit to buying a few things but they were small individual stocks which I expect to have secular trends contrary to the general market; mostly I've been selling stuff off.

      Read pp. 1-7 of Krugman's _The Great Unraveling_ (available from Google Books). NOW.

      by neroden on Mon Aug 08, 2011 at 07:35:36 PM PDT

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    •  well (0+ / 0-)

      well I would not use the phrase priced in,  that is a phrase used for the stock market, not usually treasury market.

      Bad is never good until worse happens

      by dark daze on Mon Aug 08, 2011 at 07:35:53 PM PDT

      [ Parent ]

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