Our Government Lying????
April 7, 2008, 10:13 pmFDIC Chairwoman Calls for Activism
Federal Deposit Insurance Corp. Chairwoman Sheila Bair said Monday policy makers needed to consider a more “activist” government response to prevent an escalation of foreclosures even if such measures aren’t “politically popular.” In a speech to the Equipment Leasing and Finance Association at a Washington hotel, Ms. Bair said policy makers must be “honest” with the American people about the need for such a move, adding that it would likely include some federal spending.
2) Regulators are “increasingly concerned” about the risks posed by high concentrations of commercial real estate loans at banks, especially at financial institutions with between $1 billion and $10 billion in assets.
HONEST with the American people??? WTF, have policy makers been dishonest up to this point. Financial institutions with $1 to $10 Billion in assets? That is a boat load of our commercial banks.
Wasn't Ms. Blair just a few months back telling us everything was OK? FDIC only has about $80 Billion in reserves......you think Ms. Blair is worried????? You think the American people would like some "honesty" about the safety of our money in the banks?
If we have to bail out the FDIC, how much devaluation will our currency suffer? How high will interest rates go?
It appears that our commercial banks are now subprime, our auction rate municipal bonds are subprime, our prime loans resetting are subprime, commercial RE debt is subprime, private equity loans are subprime.....is the FDIC now subprime?