Tuesday, November 24th, 2009

Posts Tagged ‘ Bear Stearns Bailout ’

Volcker: Fed’s Bear Stearns Bailout Sets Dangerous Precedent

May 15th, 2008 | By Contrarian Profits | Category: Featured, Financial News

Former Fed chief Paul Volcker has warned that the Fed’s recent use of “long-dormant” powers may set a dangerous precedent for the future, causing “market participants” to factor another Fed bailout into their increasingly reckless trading strategies.

“Whatever claims might be made about the uniqueness of current circumstances, it seems inevitable that the nature of the Fed’s response will be taken into account and be anticipated, by officials and market participants alike, in similar future circumstances,” Volcker said in prepared testimony before Congress.



Rogue Operation, Where Are You?

May 5th, 2008 | By Dave Gonigam | Category: Politics & Economics

Reading this Bloomberg story about the increasing demands being made on the Fed, I couldn’t help but think of the theme song to the vintage TV series “Car 54, Where are You?”



Optimism on the Street

Apr 7th, 2008 | By Contrarian Profits | Category: Featured, Financial News, Stock Market Investing

US stock futures are pointing up following news of a $5 billion cash injection into Washington Mutual.

According to a report in The Wall Street Journal, the mortgage lender is close to a deal to get a $5 billion injection from TPG and other investors — a deal not brokered by the government, as was the recent Bear Stearns bailout.

The deal seen by some analysts as a sign that the financial sector is starting to pull out of the credit crisis.