bail out bill!

[wes 89 gt]

just failed and stock market recorded 1.2 trillion dollar loss.:eek:

['92Stang]

1929 here we come:rolleyes:

[DeckerEnt]

Time to get out the bottled water and duct tape. LOL
Keith

[PONYGRL]

Ya I just read an article about this..... CRAZINESS!

[redfirepearlgt]

I don't know that this is the end of the world gang. I think there will be a few bankers and stock brokers wearing aprons and doing dishes tomorrow, the greedy ones any way, but I feel glad that congress said heck no. There should be a select group of executives going to the federal pen for this Fannie and Freddie deal. Way too much greed in this country.

IMO home owners having over extended themselves should be forced to pay off their home even if it means running the note out to 40 years, while at the same time the banks should have to rewrite the loans for a reasonable interest rate and tough out the fact that they will not grow as projected, but at least they will stay in business. The only thing govt should do is oversee this process or one like it that is fairer to those who have lived fiscally more consrevative and within their means. Of course there are exceptions to the rule and those few should be weighed accordingly. Why should we all have to pay for the greedy decisions of a select group of idiots on both sides of this ordeal?

I know that this is oversimplification of a much bigger picture but this is my opinion. Subsidize with tax dollars ONLY as a total last effort. Don't squeal fowl bacause of a 7% drop in the market today. Hell, Black Monday 1987 saw a greater than 20% loss in one day and the country recovered. There was much more lost then in ratio of wealth versus loss than what we have seen even in the last few weeks.

[04 Venom]

I know that this is oversimplification of a much bigger picture but this is my opinion. Subsidize with tax dollars ONLY as a total last effort. Don't squeal fowl bacause of a 7% drop in the market today. Hell, Black Monday 1987 saw a greater than 20% loss in one day and the country recovered. There was much more lost then in ratio of wealth versus loss than what we have seen even in the last few weeks.

That would be nice if it stopped at 7%, but it won't. If you don't need any money you have in the market for 5 years, you shouldn't worry. If you are 1-2 years away from retirement and depend at all on a 401(k), better buy a couple of cases of Pepto Bismo. The 20% loss in 1987 was a correction, this has the potential for becoming much more if a panic sets in.

[SLWB16hatch]

when they see how much money they really lost.......this could be bad....

[redfirepearlgt]

That would be nice if it stopped at 7%, but it won't. If you don't need any money you have in the market for 5 years, you shouldn't worry. If you are 1-2 years away from retirement and depend at all on a 401(k), better buy a couple of cases of Pepto Bismo. The 20% loss in 1987 was a correction, this has the potential for becoming much more if a panic sets in.

Firms that handle 401K funds such as T. Rowe Price, and Fidelity advise their clients to begin moving their investments into much more stable areas of the market by the time they get within 1-2 years of retirement target. Many also do this for you as my 401K is set up to do over time. Not taking the advise of your 401K advisor would be risky at best.

Notice how much more $700,000,000,000.00 looks like when you type it out numerically vice writing it as $700 billion?

Give them $700,000,000,000.00 today and they will want twice that the next time they blow their allowance because they spent it all on bazooka bubble gum and sweet tarts instead of using it wisely. Make them use their kids trust funds to recoup their greedy losses with, not our tax dollars.

[85_SS_302_Coupe]

Time to get out the bottled water and duct tape. LOL
Keith


Hey, when we all go Mad Max, you're coming with me because you have lots of guns :lol:

[PONYGRL]

So yesterday Sheree Paolello, Channel 5 News anchor, came to give a presentation to one of my classes right before she went on air at 5. We were discussing this in the class. I was extremely surprised at how well-educated she was on current events... locally.... and nationally, but then again you have to know what is going on in that kind of career.

She told us a bunch of stories about viewers who have called in, telling their worries and stories about the economy and ways that they are struggling and problems people just like you and me are facing in the tri-state. It was crazy and some of them I could not believe.

Anyway, she was telling us her hubby works for some bank around here and has been predicting this would happen for several years since he is a big time numbers man and gets way into politics and the economy. She basically told us that in her own personal opinion and based on her interviews and knowledge, things are going to get TONS worse, especially since the bill did not pass... Just like all the homes are going into foreclosure with the upper and middle class, it will eventually effect those who are funded by the gov't and the whole other side of the spectrum, like those on welfare, etc. eventually.

I guess I should just feel lucky though. I'm still young... in college, and at this point in time I don't have much to worry about. Despite that fact that my 401k seems to be DECREASING every paycheck, I do have a car. I do have a home. And I will have a good career one of these days... I'm hoping that if things do get worse and worse, I will still be able to afford whatever I want and need, but I know others in the area and around the country aren't that fortunate.

[ADaughen]

Dow was back up 485 points last night (3rd largest jump in Dow history). (It had dropped -777 on Monday, 13th largest drop in history).


When my parents bought their house in the '80s, it was required to have ~20% down or you couldn't get a loan. It is going to go back to that. There hasn't been a 0% down in months. Lowest down payment I've heard recently was 5% down. If you can't afford a house, you aren't going to be able to buy one. Can't afford a car? You won't get one.

The mortgage/credit market needs to repair itself. A $700B bailout isn't going to do anything but reward bad risk and bad investment. For example the bill has a rider of 20% of any profit would go towards ACORN, which was suing banks to force them to loan people that couldn't afford houses (along with being involved in voter fraud in 13 States... oh, and this is a group Obama worked for when he was a community organizer).

[Black92LX]

http://www.stereoscopy.com/database/movies/chicken-little.jpg
:lol::lol::lol::lol::lol::lol::lol:

Here is a nice little article from 1999 calling the problem.

http://query.nytimes.com/gst/fullpage.html?res=9C0DE7DB153EF933A0575AC0A96F9582 60&sec=&spon=&pagewanted=print

ADaughen is spot on.
Sadly people feel that just by breathing they deserve to own a home. Well guess what not everyone can afford to own a home. It's that simple.

Just another reason why diversification is key when it comes to your investments folks.
The stock market is great and still one of the greatest places to invest. But you need to remember liquidity and stable returns. Sure you lose some on the rate of return but sometimes that is OK.

I have quit watching the news all together. I am tired of the who gloom and doom FINANCIAL CRISIS they are spewing.
We are no where near a Financial Crisis. Nowhere near it.
We are on a down turn sure. But it's part of the economy it always has been and it always will be.

[ADaughen]

This just in:
The revised bill contains an additional ~$120 billion in pork to try and bring voters on board.......

The price of the bill is now over $800 billion.


WHY!?!?!!

[cstreu1026]

It at first you don't succeed ask for more.

[ADaughen]

WTH are these people thinking?!?


Here are some of the special-interest provisions that are now part of the Wall Street bailout legislation. The bill started at 3 pages, grew to 106 pages, and is now 451 pages.

Film and Television Productions (Sec. 502)
Wooden Arrows designed for use by children (Sec. 503)
6 page package of earmarks for litigants in the 1989 Exxon Valdez incident, Alaska (Sec. 504)
Virgin Island and Puerto Rican Rum (Section 308)
American Samoa (Sec. 309)
Mine Rescue Teams (Sec. 310)
Mine Safety Equipment (Sec. 311)
Domestic Production Activities in Puerto Rico (Sec. 312)
Indian Tribes (Sec. 314, 315)
Railroads (Sec. 316)
Auto Racing Tracks (317)
District of Columbia (Sec. 322)
Wool Research (Sec. 325)

Details at link:

senateconservatives.com/

[04 Venom]

WTH are these people thinking?!?

Are you sure that isn't the continuing resolution to fund the government until March 6, rather than the bailout--sorry, the "financial rescue"?

[ADaughen]

Are you sure that isn't the continuing resolution to fund the government until March 6, rather than the bailout--sorry, the "financial rescue"?


Nope, same bill. They added 12 ear marks for Ds and Rs on the fence. :mad:

"We want your vote, Congressman 04 Venom. We'll add XXXX to the bill for your vote." :eek:

I took economy 201, and even I knew this is a bad idea. Real economists agree. :bigthumb
http://www.foxnews.com/story/0,2933,431645,00.html

Many of the economists objected to the provisions in the bailout bill, as Cochrane noted, that were “completely unrelated” to financial markets. The bill has grown from three pages when first proposed by Treasury Secretary Henry Paulson to 102 pages when the House rejected it on Monday to 451 pages when it was passed in the Senate.

Evans was concerned about the “Christmas lights being added to buy support and get the proposal through.” The legislation now contains mandated mental health care and addiction coverage in private insurance to attract liberal Democratic votes, and undoing the Alternative Minimum Tax as a way of appealing to conservative Republicans in the House. Other provisions are provided to help out groups such as those who use wool products, tax breaks to disaster victims, and promote renewable energy. Hansen called the bill a “monstrosity.”



ETA:
FWIW, rumor has it, they took out the ACORN 20% profit payout. But that doesn't mean the House couldn't add it back in.