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Global financial system implosion begins

For the greedy man there is never enough. You know, for once in my life i actually want to see these dispicable, greedy mother fuckers swing from a lamp post. Im not poroud of it, but they are just scumbags of the highest order, parasites feeding off the back of other men.

:(


Indeed.

:mad:


Woof
 
Solution:

Enable the ability to sue the credit rating agencies.
Separate the investment banks from the high street banks (if possible)
Ensure that the government can just back deposits up to a certain amount (they already do this)
Widen the ability to hold stocks and shares so that the system is not so unstable.

Good in the short term.

But it looks like nobody within the establishment is willing to bite even that bullet.

Ergo........

Were going down, whether it's in 3 years time or ten.


It's unsustainable.

:(


Woof
 
Good in the short term.

But it looks like nobody within the establishment is willing to bite even that bullet.

Ergo........

Were going down, whether it's in 3 years time or ten.


It's unsustainable.

:(


Woof

Yep - we'll go round again until the government finds a way to NOT need to bail out the banks.

Personally I would like to see a European Directive on this...
 
Goldman Sachs . . . had access to capital thanks to the US government via the TARP which helped them stay in business.
Debateable. GS did not ask for TARP funding, they were forced to accept in on the premise that "if we only give it to those who need it it's obvious who's foobar'd".
Goldman Sachs represents the best and brightest on Wall Street . . .
Debateable. I think there's a Goldman's "type" iyswim, and while they're certainly "bright", but I wouldn't class any of those that I've met as the "best"
. . . and they failed to recognize the coming economic crisis in 2007.
GS substantively wound down their mortgage book (ie in-house punting account) pre-crash iirc, what happened to funds run on behalf of other investors is, of course, another story (AlphaGen etc)
 
Not usually a fan of Global Research as it has some weird articles on there, but this one seems well reseearched and sourced.

Entering The Greatest Depression in History

The Washington Post reported in early July of a Treasury Department initiative known as “Plan C.” The Plan C team was assembled “to examine what could yet bring [the economy] down and has identified several trouble spots that could threaten the still-fragile lending industry,” and “the internal project is focused on vexing problems such as the distressed commercial real estate markets, the high rate of delinquencies among homeowners, and the struggles of community and regional banks.”


Further, “The team is also responsible for considering potential government responses, but top officials within the Obama administration are wary of rolling out initiatives that would commit massive amounts of federal resources.” The article elaborated in saying that, “The creation of Plan C is a sign that the government has moved into a new phase of its response, acting preemptively rather than reacting to emerging crises.” In particular, the near-term challenge they are facing is commercial real estate lending, as “Banks and other firms that provided such loans in the past have sharply curtailed lending,” leaving “many developers and construction companies out in the cold.” Within the next couple years, “these groups face a tidal wave of commercial real estate debt -- some estimates peg the total at more than $3 trillion -- that they will need to refinance. These loans were issued during this decade's construction boom with the mistaken expectation that they would be refinanced on the same generous terms after a few years.”
 
Lenders face huge fraud losses
Independent. Saturday, 22 August 2009
There may be many more executives seeking pastures new at other financial institutions before long – the recession is set to expose a vast number of cases of such frauds. BDO Stoy Hayward, the accountancy firm, has put the potential cost of these scams at upwards at £1bn.

All the talk of green shoots seems optimistic.
 
I never did read this thread. I wonder how it's doing, now that the 'global financial implosion' never got off the ground?:confused:

Didn't you notice? It was defused by socialism (i.e. the state taking money from the poor and the relatively poor) bailing out capitalism (i.e. the stinking rich) yet again. How much did it cost us all?
 
and there was me thinking the green shoots brigade were sanguine

The_shining_heres_johnny.jpg


Basically...
 
Too early to quantify.

Would be nice to have a sort of half time score, though.

There was the money given to the banks, a fair proportion of which now seems to be given out in bonuses to reward the thieves themselves. Also the money that's been created out of nothing (ooooo what was the lovely term they use for printing money now?), since we'll all have to pay for that in higher inflation. Be interesting to have a figure for how much each of us has paid in the UK and US, for example.

And of course the human misery, but that doesn't appear in bank balances which is why the capitalism we have sometimes seems to work on paper.
 
Well in terms of quantitative easing alone they have spent most of the 150bn they were initially allocated, and plan to spend another 50bn in the fairly short term. Then there's house prices, which by Feb were down 12.3% year on year. Factor in redundancies, the 40-odd% of GDP government liabilities that don't even reflect the baking bailouts (which really are pretty unquantifiable at the moment, as it's unclear just how much the govt will be expected to repeat the same sort of bailout in the future - a sort of gambler's fallacy basically), and then take into account just how good the govt has been at keeping a lot of the worst news off balance sheet, and you have a situation that is really pretty grim and not going to get better at any point in the near future.

The main thing though is that I reckon we are on a sort of shelf at the moment in several respects, and that in the short- to medium-term we will see another sharp decline in a number of different areas - house prices, currency value etc etc. It will probably be something small and thus rather difficult to predict that will tip it off, but it's financial jenga basically, and it's gonna go sometime
 
Have you read the thread? How can an "implosion" "get off the ground"?

No. The thread is over 1600 posts long. Also, given the thread title and current world events, I've made the assumption, perhaps erroneous, that it isn't all that relevant.

"Get off the ground" is a colloquialism meaning 'to get started' or 'get underway'. Sorry for any confusion.
 
Didn't you notice? It was defused by socialism (i.e. the state taking money from the poor and the relatively poor) bailing out capitalism (i.e. the stinking rich) yet again. How much did it cost us all?

Personally, I believe that the economy was basically sound all along, and the bailout was just a cynical cash grab by banks and corporations, abetted by credulous governments.

Real recessions or depressions don't magically cure themselves after two or three quarters.
 
Personally, I believe that the economy was basically sound all along, and the bailout was just a cynical cash grab by banks and corporations, abetted by credulous governments.

Real recessions or depressions don't magically cure themselves after two or three quarters.

I don't believe that the problems have gone away.

The situation is being kept stable by zero interest rates and massive money-printing, which cannot last forever.

Giles..
 
I don't believe that the problems have gone away.

The situation is being kept stable by zero interest rates and massive money-printing, which cannot last forever.

Giles..


Agree, at best moved to countries instead of banks going bust, or rather next phase is currency devaluation and interest rate hikes
 
I don't believe that the problems have gone away.

The situation is being kept stable by zero interest rates and massive money-printing, which cannot last forever.

Giles..

Who is offering zero interest rates?

Who is printing this money? Are you saying that govts are augmenting their revenue by adding in extra money that they've printed?

So the federal balance sheet will show:

Tax revenue: 1 trillion

Money we printed last week: 1 trillion

Total govt revenue: 2 trillion

This might be exactly what they're doing: do you have any proof?
 
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