Global economic crisis

[CajunMama]

Abcnewsbreak just came on the tv to say it passed.

159 democrats in favor
88 republicans in favor

[gtalum]

RIP Capitalism.

[Ptarmigan]

Let all the failed banks crash to the ground.

[HURAKAN]

President Bush signs the bailout.

Link: http://www.cnn.com/

[CajunMama]

Let all the failed banks crash to the ground.

You really don't want that to happen do you? Do you realize what the reprecussions of that would be?

[JonathanBelles]

I liked the beef of the bill, I just didnt like the pork.

[Cyclenall]

God help you guys down south. Hundreds of millions spent on tax breaks for RUM!?

Link: http://zfacts.com/p/461.html

Here you can see a page that I have been following for a few years and this is the first time I have seen it changed to reflect the enormity of the situation unfolding.

[Stephanie]

Let all the failed banks crash to the ground.

You really don't want that to happen do you? Do you realize what the reprecussions of that would be?

I hate the additional pork added to the bill - were they really necessary to pass it? RUM?? Who the heck thought of that one?

They did have to do something and quickly. There was more of a disaster waiting if nothing was done as Cajun said. Now, let's REALLY get to work to cleanup the corruption, get more oversight, etc.

[Extremeweatherguy]

The markets are tanking again today. The DOW is already down nearly 400 points!

[storm4u]

i really dont think that the bailout bill is going to work!

[Extremeweatherguy]

Dow now down over 500 points.

[Cryomaniac]

So the bailout worked then?

[gtalum]

The bailout wasn't for the stock exchange, it was for banks with bad paper.

[Cryomaniac]

Wasn't it also supposed to "stabilize the markets"? And the banks are a fair constituent of the stock markets...

[Skyhawk]

http://www.bizjournals.com/triad/storie ... ily53.html

Thursday, September 25, 2008
BB&T chief exec slams bailout plan The Business Journal of the Greater Triad Area

A significant and immediate tax credit for financial institutions to purchase homes would be a more effective solution for the financial crisis than the proposed $700 billion federal bailout, says BB&T Chief Executive John Allison.

The federal government should also buy homes, and not securities backed by mortgages, he wrote in a Sept. 23 letter to the U.S. Congress.

“This is a housing value crisis,” Allison wrote. “It does not make economic sense to purchase credit card loans, automobile loans, etc. The government should directly purchase housing assets, not real estate bonds.”

In his letter, Allison questions how the government will pay the proper price for distressed real estate assets. Overpaying will harm taxpayers, while underpaying will hurt real estate markets. He also believes allowing homeowners to use the bankruptcy to restructure their loans will “force losses on banks.”

He adds the primary beneficiaries of the proposed rescue are The Goldman Sachs Group Inc. (NYSE:GS) and Morgan Stanley (NYSE:MS). The U.S. Treasury, he says, is “totally dominated by Wall Street investment bankers,” and “cannot be relied on to objectively assess all the implications of government policy on all financial intermediaries.”

Allison also said it is “inappropriate that the debate is largely being shaped by the financial institutions who made very poor decisions.”

He pins the responsibility for the crisis on Freddie Mac and Fannie Mae.

Winston-Salem-based BB&T is a $136 billion banking company with 1,500 branches. Although the company (NYSE:BBT) has been hurt by the slowing real estate markets, it continues to turn a profit. It posted second-quarter net income of $428 million, or 78 cents per diluted share. It made $458 million, or 83 cents per share, in the second quarter of 2007.

Allison is scheduled to retire at the end of the year.[/Quote]

[Dionne]

What we're experiencing is a "global economic shutdown". The only thing this bail out and cash infusion will do is continue to devalue the dollar. The "credit crunch" has put the pinch on a lot of folks. As most of you know I closed my construction business while my wife was recovering from cancer. We only completely closed for several months. When we started back it was slow and has remained slow. We've been in business since '95.....thats 14 years.....last week was the first week ever that we did not receive a single call for work or bid requests.

I've never been the doom and gloom type person, but I will say this now.....it's getting rough out there.

[lurkey]

http://www.nytimes.com/2008/10/07/busin ... rkets.html

The broader American stock market was down more than 4.4 percent, as measured by the Standard & Poor’s 500-stock index, its worst decline since last Monday’s 8.8 percent drop. At the same time, oil dropped below $90 a barrel.

The precipitous declines, which accelerated as the morning wore on, came a day after European governments were forced to scramble to save several major banks and lenders from collapse. The moves reinforced the global reach of the current crisis and alarmed depositors and regulators in the United States and abroad

The banks and markets in Europe are in freefall this time . . . Asia markets will probably be next to panic.

[Brent]

So the bailout worked then?

Apparently.

[Dionne]

I wouldn't be surprised to see trading suspended here in the next few hours. There aren't enough parachutes to go around.

[somethingfunny]

I wouldn't be surprised to see trading suspended here in the next few hours. There aren't enough parachutes to go around.

There's always enough golden parachutes.