When the bailout starts
- Thread starter tinfoil
- Start date
It didn't make things worse, and it's just one piece of the puzzle.
For our economy to run, banks have to be able to make loans, period. Once the bailout starts getting implemented, they should be able to. The idea that credit might not be available is a huge part of what is driving the panic right now.
For our economy to run, banks have to be able to make loans, period. Once the bailout starts getting implemented, they should be able to. The idea that credit might not be available is a huge part of what is driving the panic right now.
Then where was the panic pre-bailout?
Sorry man, but the bailout sparked this sell off. You have to be delusional to think otherwise.
I don't see the logic in that. People don't have faith in the banks, with or without the bailout. I just don't see how the bailout actually worsened things; by most accounts, even at this point, it will be part of the reason for the upcoming recovery.
It's all about the loans.
Obfuscate
Powered By: Capitalism
No doubt.. This was to "Restore Confidence" It's done the exact opposite.
You're not showing any logical causation.
I have heard some traders say that it hurt that the 1st package didn't pass. Regardless, the fear right now is based on total uncertainty regarding the value of bad loans the banks are dealing with right now. No one knows the answer to "how much." The hope is that once the bailout is implemented, banks will have some solvency, and be able to provide loans on a reasonable basis.
Until they figure that out, there is just uncertainty & panic. The idea that a $700 billion bailout to the banks, which will do nothing but help them reach solvency, is hurting, is kind of ridiculous.
Hard to believe it's only been 18 days since this news story
http://www.rttnews.com/Content/TopStories.aspx?Node=B1&Id=717838&Category=Top Stories
http://www.rttnews.com/Content/TopStories.aspx?Node=B1&Id=717838&Category=Top Stories
FUCK THE POLICE
911 EVERY DAY
This is more than the biggest commie could've ever dreamed of. We're literally nationalising our financial sector.
Cancel 2016.2
The Almighty
Bullshit. The downturn started long before the idiots in DC began spouting off. The downturn this past week has more to do with the tightening of credit continuing as well as the Dow, the S&P, Nasdaq, Wilshire, Transports ALL breaking major technical support levels.
The only delusional people are the ones that are pretending this bailout sparked a sell off. The stupidity of that comment should be put on the same pedestal as the 1/3 comment.
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The Almighty
Once again displaying your ignorance. The downturn started BEFORE they even mentioned a bailout. The escalation of the downturn occured AFTER the markets broke their technical support levels. Throughout history, when the 50% retracement levels are broken, the vast majority of the time the lows are re-tested.
Same thing on an upward swing. When the 50% rebound level is breached, typically that is a very bullish signal. If it hold above the 50% level for a few days, it generally will retest the highs.
Part of the problem this week is investors are getting their 3rd quarter statements.... and finding they were down 10-30% for the quarter. Needless to say, quite a few have hit the panic button.
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The Almighty
Look again tin... the sell off started when the Dow broke 10725. It escalated this week as panic mode set in. Not because of the bailout, but because people saw what happened to their accounts in the third quarter, people remained concerned about tight credit, people remained uncertain as to HOW the pricing would work.
To act like it was because of the passage of the bill is moronic.... at best.
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The Almighty
again moron.... the technicals broke long before the bailout passed. the downturn was already running. The panic had already set in. It was already down 1000 points from Monday until the bill passed on Friday. The fact that it continued isn't a result of the bailout being passed moron. It, as I stated, is a result of credit remaining tight, investors panicing as they got third quarter statements etc...
To pretend it was due to the bill passing is nothing short of moronic.
What’s the point of arguing about it? Krugman says the bailout was needed but it should have been a Swedish-style plan, and that Paulson’ fucked everything up, starting with letting Lehman go under and finishing with his particular bailout plan. We’re in a pretty big disaster, there aren’t going to be any jobs next year, business has completely frozen up. I am, at my non-profit, planning a big event for children, all of which was funded by donations last year – mostly merchandise donations from local businesses but also places like Costco.
Well, this year, everyone is saying, look, we don’t have any business. I had to go someplace today, a huge rental place here, to get a popcorn machine and a cotton candy machine donated (just for the day). The guy donated them to me, I guess because it really doesn’t make a difference, but he told me the same thing they’ve all been telling me: I’ve got no business.
It’s a disaster, and nothing is going to change that. People are going to be starving and homeless next year. Let’s freeze the budget! Whatever, that’s a political statement too, but everyone better batten down the hatches, and if you are lucky enough to have enough, donate to a local food bank, as often as you can.
Well, this year, everyone is saying, look, we don’t have any business. I had to go someplace today, a huge rental place here, to get a popcorn machine and a cotton candy machine donated (just for the day). The guy donated them to me, I guess because it really doesn’t make a difference, but he told me the same thing they’ve all been telling me: I’ve got no business.
It’s a disaster, and nothing is going to change that. People are going to be starving and homeless next year. Let’s freeze the budget! Whatever, that’s a political statement too, but everyone better batten down the hatches, and if you are lucky enough to have enough, donate to a local food bank, as often as you can.