As discussed in Part One here are some stories those who really are addicted to the news (lol) news junkies like myself will want to read! I do ask if you find the news here and want to share it you mention where you found it. Boy do I have the news today this may take another two blogs to cover.
Back-Door Taxes Hit U.S. With Financing in the Dark
New York Fed’s Secret Choice to Pay for Swaps Hits Taxpayers
Submitted by Tyler Durden on 10/27/2009 09:58 -0500
Many readers have expressed their incredulity, frustration and, at times, outright anger, with what can be classified simply as a mutual circle jerk among Wall Street's financial analysts, rushing to upgrade each others' stocks with impunity. These analysts have been operating with an S&P and Moody's like tendency to ignore any and all pitfalls associated with skyrocketing loan losses, coupled with tepid increases by the banks' taking on necessary reserves to account for what will likely be a collapse in the CRE market, which we at Zero Hedge have been documenting for the past nine months. Hereby we demonstrate the circular nature of all these activities: the attached graphic shows just how prevalent the ponzi upgrade game has become - among the top 7 banks which have staggering (and in many cases taxpayer subsidized) balance sheets and hold all the keys for the next major leg down, there is just one sell rating (and even that is simply between a European analyst and a European firm). Which begs a new spin on an old question: if a ponzi scheme develops before our eyes and everyone is blissfully ignoring it, has a ponzi ever occurred (we refer you to the SEC for the answer)?
Submitted by Tyler Durden on 10/27/2009 12:26 -0500
The latest must read from Eric Sprott: "We believe the US government’s current trajectory presents one of the greatest macro-economic risks at play today. The Federal Reserve and the US government have assumed the toxic financial trash that brought the banking system to its knees a year ago. By monetizing debt to support their budget deficit and ‘save the system’, both entities have chosen to walk a well worn path traveled by so many governments before them. Like dead men walking, the US government is merely biding its time until the moment of truth. Unlike Fannie Mae, General Motors or Citigroup, however, there is no one left to grant a reprieve."
Looks like I may have to start a site devoted to just the news like minded individuals want to read about again check back I have more coming today!