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JGus (30.11)

Mark to Imagination - Part II

Recs

17

November 01, 2009 – Comments (4) | RELATED TICKERS: BIG , LI , E

Here we go again! Life in the land of make-believe is so much more fun, isn't it!?!?! Who says we lose our imagination as we grow older : ) Excerpt from the NY Times on Friday: 

Federal bank regulators issued guidelines allowing banks to keep loans on their books as "performing" even if the value of the underlying properties have fallen below the loan amount.

The volume of troubled commercial real-estate loans is skyrocketing. Regulators said that the rules were designed to encourage banks to restructure problem commercial mortgages with borrowers rather than foreclose on them. But the move has prompted criticism that regulators are simply prolonging the financial crisis by not forcing borrowers and lenders to confront, rather than delay, inevitable problems.

The guidelines, released on Friday by agencies including the Federal Deposit Insurance Corp., ...

 

4 Comments – Post Your Own

#1) On November 01, 2009 at 4:45 PM, binv271828 (< 20) wrote:

Thanks JGus! (and perfect tickers too) :). The government will massage (or break) rules just to make finanicals look better, despite their horrendous fundamentals, and keep the rally going. But I think the trend (down) is finally resuming.

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#2) On November 01, 2009 at 5:33 PM, AdirondackFund (27.26) wrote:

Playing Alice in Wonderland didn't work for CIT.  Here's the link:

 http://www.msnbc.msn.com/id/33576310/ns/business-us_business

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#3) On November 01, 2009 at 9:42 PM, uclayoda87 (30.64) wrote:

When the government animal is cornered it may do some really inventive (stupid) things.  Changing some make believe rules are easy.  Watch for more outrageous proposals if the market does not turn around quickly.

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#4) On November 02, 2009 at 9:14 AM, jesusfreakinco (31.17) wrote:

Well it is easy to make these 'instruments' look they are performing when you printing mone and pumping the markets, eh?

JFC
 

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