The Fed knew about the housing bubble before it burst but lied and said they didn't: Bill HR 1424 to buy bad paper (eventually called TARP) was introduced in March 9, 2007, before there began to be bad commercial paper from private subprime RE loans, in August. I have published on two other ...
more The Fed knew about the housing bubble before it burst but lied and said they didn't: Bill HR 1424 to buy bad paper (eventually called TARP) was introduced in March 9, 2007, before there began to be bad commercial paper from private subprime RE loans, in August. I have published on two other prominent financial websites, Seekingalpha.com (as Gary A) and at Businessinsider.com. I muckrake the banking system and found premeditated causes for the housing bubble and subsequent meltdown. I am married with 4 grown children.
Specialties: Impacts of politics on the economy, interpreting economists, writing about the negative impact of some aspects of globalization and pros and cons of the new normal. I don't like tariff wars. Email bgamall at gmail
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A Remarkably Accurate Warning Indicator For Economic & Market Peril
Yes, Alexis, when the 3 month Swap rate exceeded the fixed 10 year swap rate, the inversion apparently was the straw that broke the camel's back causing the Great Recession. I wrote about it here with a chart: www.talkmarkets.com/.../the-federal-reserve-knew-libor-was-exploding-in-2007-and-did-nothing
A Remarkably Accurate Warning Indicator For Economic & Market Peril
Interesting article. However, the Great Recession also contained the inversion of LIBOR with a fixed swap rate. That left banks helpless in the face of big swap payouts.
As Trade Wars Broaden, Europe Is The Key To Future
Great article. Brussels and Germany had better get serious about working things out with China if Trump refuses to back off.
Tesla's Executive Turnover Seems About Average (Updated)
Ah, no. That is not a valid comparison. You can have the fastest computer in the world, but if sensor equipment is both flawed and way too expensive, the vehicles will be inherently unsafe. Even 5G does not fix the basic flaw. And add to that a fast computer does not guarantee sound judgement and it may be programmed to kill you on a moment's notice.
5 Stocks To Buy As Markets Are Shrugging Off Trade War Fears
I wonder how much of the trade deficit shrinkage can be attributed to getting ahead of the tariffs? Could be a trap.
ECRI Says "Very Serious" Synchronized Global Downturn
Well, at least something is hurting growth. Has to be #Trump, and maybe just business cycle issues with the uber rich pulling in their cash, not willing to spend or invest.
Tesla Please Don't Tease The Shorts
I know there is an investigation of the tent, or at least of Musk's production practices. I would be wary of buying a Model 3 personally.
Tesla Please Don't Tease The Shorts
Bullish even with model 3 safety shortcuts? Risky but Musk seems teflon-like.
The Fundamentals Of A Bull Market
Interesting article. Some would argue, though, that much of the high tech bull is simply AI hype and bubble. Artificial intelligence has already shown its limitations in self driving cars that don't work.
Much More Than Payrolls
This low labor force participation rate must be why Chairman Powell said he was not worried about inflation. Sure there is asset inflation but the only thing the Fed worries about is wage inflation. Can't have that!