The following is a Bloomberg Headline about S&P calling a bottom for SubPrime Writedowns:
U.S. Stocks Gain After S&P Predicts End to Subprime Writedowns
By Eric Martin
March 13 (Bloomberg) -- U.S. stocks rose for the second day this week after Standard & Poor's predicted an end to banks' subprime mortgage writedowns.........
Please take a look at the chart of a tranche of ABX Subprime Loans:
The value of the tranche is DOWN over 90% from its peak. DOWN OVER 90%. It's tough to write much more off when you are down over 90%. No kidding the bottom is near on SubPrime. What about Alt A and Prime.....that party is just beginning and much larger
Sorta like a pilot flying SubPrime Airlines telling his passengers that the airplane's free fall is about to end as the plane nears the ground without wings or a tail.......AND ALL THE PASSENGERS CHEER!!!!!!!!!!!!!!!!!!