GREAT RECESSION CONTINUES TO SLOW “SURPRISING” NOBODY EXCEPT THE “EXPERTS”

MOST POPULAR ARTICLES

DISCOUNT FOR EARLY BIRD REGISTRATION RUNS OUT ON JUNE 22

CLICK HERE TO REGISTER FOR 2 DAY GARFIELD CONTINUUM CLE SEMINAR

COMBO Title and Securitization Search, Report, Documents, Analysis & Commentary GET COMBO TITLE AND SECURITIZATION ANALYSIS – CLICK HERE

EDITOR’S COMMENT: Each day, week, month, quarter and year is the same. Bad news, but the “experts” say it will get better. It never happens. They are relying on past patterns where the recession or depression was caused by w wide variety of factors that have played out, allowing for new things to happen. The principal reason for the GREAT RECESSION is that Wall Street sucked the lifeblood out of the economy instead of supplying it. They stole trillions from investors, consumers, and government entities holding taxpayer money. Nothing can change until the reasons for the recession have played out, allowing for something else to fill the void — like the return of the blood money they took.

But there is no void, because Wall Street is still playing. They continue to hold the money they stole. They won’t even let it back into the economy as credit. The patient needs a transfusion and Wall Street is still taking blood OUT. The simplicity of this escapes nobody anymore except those charged with putting a spin on the situation so the media will carry stories of hope and  distraction from what Wall Street did and is still doing.

Policy is being made based upon the spin rather than the reality. Thus the policies of the government can’t have any effect on our reality, except occasionally by accident. Our economy is being held hostage and the crime is being committed primarily through the housing market. Has anybody seriously asked the question yet: is this housing situation real or it is a manifestation of of Wall Street misdeeds that under a nation of laws would not be permitted? Why are we letting politics trump the law?

This nightmare will be over only if the tyranny of Wall Street ends. The Judiciary is unfortunately our last hope but it moves very slowly. It might be decades before the truth comes out as as a whole explanation of our current situation. Piece by piece the elements of the fake securitization of credit are coming under examination. Step by step in the courts, the machinery is moving at an excruciating pace, but the results are starting to pile up leading to only one rational conclusion: there is no part of the mortgage market that was honest, fair or lawful. And any action taken that relies upon the precedent of the last 10-15 years is as wrong as the original act itself.

The economy, our prospects and the opportunities for our children and grandchildren depend not upon the ideology of austerity but upon the the law as established by out constitution, legislatures and common law precedent. When the housing fraud is fixed, then the economy will be fixed and not a moment before. 50% of our GDP is already reported as held hostage by “financial services” (i.e. trading paper) instead of making things and doing things. Is this the U.S.A.?

June 15, 2011, 1:19 pm

The Great Growth Disappointment

By CATHERINE RAMPELL

Second verse, same as the first: The quarter when the economy was supposed to stage its comeback is looking just as bad as its disappointing predecessor.

We’ve had a slew of distressing economic data come in during the last few weeks. As a result, economists have been steadily downgrading their forecasts for economic growth in the second quarter. Today’s news is no exception; after a major bummer of an inflation report, Macroeconomic Advisers, the highly respected forecasting firm, lowered its annualized second quarter G.D.P. forecast to 1.9 percent.

For reference, when the quarter began, Macroeconomic Advisers was expecting 3.5 percent growth. And way back in February, the firm was projecting 4.4 percent.

We saw similar downgrades last quarter, too. That quarter began with a forecast of 3.5 percent, which slid downward as the weeks rolled on and ugly economic indicators rolled in. The Commerce Department’s latest estimate for growth that quarter was 1.8 percent.

Economists blamed temporary factors for that sluggish growth rate and forecast that growth would rebound in the second quarter. Unfortunately, though, the slide in forecasts for this quarter has been eerily similar to the slide in forecasts last quarter.

11 Responses

  1. many municipal govts funded long term projects with short term auction bonds. These come due and must be rolled over at rapidly escalating rates. The increased rates result from increasingly threatening risk of default by US munis===without the backstop/guarantee of the FOREIGN insurer. That entity and likely others are tangled up with Greek bond insurance.

    The short-term auction bond market for private corporations froze up in 2008–becoming part of the collapse. It is very likely that at least this portion of the muni bond market is on the verge of freezing up—-triggerring muni defaults and credit default swap bets to come due again. So very shortly the Fed and/or TD must stepp in and start buying these floating rate muni bonds -or they have to foreclose on stadiums etc ——–if past experience is any guide that means shutdowns and payroll losses.

    its awful tough to see any glimmers of light in this cloudy sky.

  2. […] GREAT RECESSION CONTINUES TO SLOW “SURPRISING” NOBODY EXCEPT THE “EXPERTS” MOST POPULAR ARTICLES DISCOUNT FOR EARLY BIRD REGISTRATION RUNS OUT ON JUNE 22 CLICK HERE TO REGISTER FOR 2 DAY GARFIELD CONTINUUM CLE SEMINAR GET COMBO TITLE AND SECURITIZATION ANALYSIS – CLICK HERE EDITOR’S COMMENT: Each day, week, month, quarter and year is the same. Bad news, but the “experts” say it will get better. […] […]

  3. Carie,

    you might want to pick up Matt Taibbi’s book “GRIFTOPIA” to REALLY get in fight mode. Pretty much lays it all out there.

  4. I just put up a 6′ x 6′ sign on my fence that says, “MAKE WALL STREET PAY.”

    I challenge anyone here to do the same……bring it to your neighborhood…….willingly.

  5. http://www.huffingtonpost.com/2011/06/17/sec-credit-rating-agencies-financial-crisis_n_878881.html

    “The paper said a Standard & Poor’s spokeswoman declined to comment, and it quoted Michael Adler, a spokesman for Moody’s, as saying: ‘Although Moody’s is uncertain as to what The Wall Street Journal is referring, we would certainly cooperate with any requests we receive from the SEC.’ ”

    Right, “uncertain”…lies, lies and more lies…

  6. I happened upon this article this morning while Googling “vampire squid”—because I heard this writer had used the term to describe Goldman Sachs…little did I know it’s a real creature!!! Anyway, if you never read this article that Matt Taibbi wrote a while back, it’s worth reading, or re-reading—if only to get you in “fight mode” again..

    http://www.rollingstone.com/politics/news/the-great-american-bubble-machine-20100405.

  7. But on a brighter note , LPS is down 12.8% today on top of a 8% drop yesterday ,, funny how a few CRIMINAL investigations will move a stocks price…

  8. the corecct quote is “FAT, DRUNK AND STUPID…ETC… BUT I HAVEN’T WATCHED IT LIKE 200 TIMES…lol

  9. I have a message for Americans, straight out of the “National Lampoon” movie of 30 years ago, when the Dean tells one of the frat boys

    “FAT AND STUPID, IS NO WAY TO GO THROUGH LIFE SON”

  10. This is all very Sad. And the saddest thing is that it doesnt have to be this way.
    We are living in a jungle not in a civilization. Evil has taken over

Leave a Reply

%d bloggers like this: