Wall Street Manna

An irreverent look at Wall Street

Wednesday, June 24, 2009

Saint Bernanke?








Bernanke "is a man of great integrity" or so intoned Jim Cramer, and the idea that he would muscle Ken Lewis to buy Merrill Lynch is just--well---it's just worth a rant on CNBC. (So please don't click on the above email for a closer look!)

So Darrel Issa is just a kook.

So then, must be Alan Grayson, because he wants answers to these questions:

1. How was the deal negotiated by Citigroup, the Federal Reserve, and the Treasury? How does this loss-sharing arrangement benefit taxpayers?
2. What are current mark-to-market losses to the Federal Reserve in this loss-sharing arrangement?
3. What is the current cash flow from these assets? Are these asset performing?
4. Who should be held accountable for the reckless acquisition of a third of a trillion dollars in assets that ended up requiring a government guarantee? [emphasis mine]
5. Which vendors are pricing these assets, and are there conflicts of interest present in these vending arrangements?
6. Is the Federal Reserve guaranteeing assets generated from lender-induced mortgage fraud and predatory lending practices?

Remember Obama's speech on financial market transparency? All we got was a website that started with this:

The Department of the Treasury is committed to transparency and accountability in all of its programs and policies, including all programs established under the Emergency Economic Stabilization Act (EESA). Under the new Financial Stability Plan, Treasury will implement new enhanced measures to ensure greater transparency and accountability for all of its programs under the EESA. In addition to these actions, Treasury has developed a productive working relationship with TARP oversight bodies including the Government Accountability Office, the TARP Special Inspector General, the Congressional Oversight Panel, and the Financial Stability Oversight Board.

And this section on the contracts.

We also got a bill, H.R. 1207: Federal Reserve Transparency Act of 2009 stuck in committee. The bill, Ron Paul sponsored almost four months ago.

So now we get emails.

But the public understands them.

Even if they're not as salacious as former Governor Sanford of South Carolina, the supposed new torchbearer of the Republican parties. I guess the public understood those emails. (So much for the former chairman of the RGA----so far.)

I suppose I'll just sit back and read this article entitled "From tech stocks to high gas prices, Goldman Sachs has engineered every major market manipulation since the Great Depression - and they're about to do it again" in the latest Rolling Stones!

It claims that Government Sachs is a market manipulator!

Must be a left wing read! Who would think that?

The only last question is, "When are the boys in the Government going to shut http://zerohedge.blogspot.com/ down?"

Talk about hitting for the cycle!

2 Comments:

At June 24, 2009 at 10:49 PM , Anonymous X said...

ZH is like the CDS mkt. Weapon of fear creation. CDS mkt needs to be shut down.

 
At June 24, 2009 at 10:54 PM , Blogger palmoni said...

perfect analogy

 

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