Oil closes above $81.52 per barrel

On the housing issue alone: I have no sympathy for someone who bought a home that they could not afford from day one. And this will simply correct the market... i.e. take away the homes from people who cannot afford them and give them to the people who can pay for them (at a value price of course).
 
I agree that people need to be held responsible for their own actions. Just because someone says you can qualify $x.xx amount does not mean you can afford that.

Having said that, don't the lending institutions have any responsibility in this cluster phuck? I would argue that they have at least a little (20%) maybe? I know a little about cars but not everything. I have a mechanic I trust and he has so far given me good info. I have a sister who has been in realestate for 25 years and she has watched my back. Some folks do not have that benefit so they trust someone who they should not trust. The result is they get in way over their head. Unfortunately we live in a day and age where everyone wants all the gold and does not realize that credit is not free money.

The part I do not get is why do institutions lend money to people who they should know cannot afford what they are buying? I am not in the business so I do not get it.
 
The SAD answer Garfield(to the Banks doing ANY FUUKING thing they want).....Is called CORPERATE GREED.

I REPEAT...........................CORPERATE GREED !!!!!!!!

It's a SICKNESS that has been ALLOWED to prevail, by EL CHIMPO, and the GOP !!!!!!

(Did'nt happen on blow job BILL's watch)(and I doubt it will on HILLARY's watch either.)

To a certain extent I agree, that people who "knowingly" get in over their $$$ heads, must "pay the piper"

Odd, is'nt it, that the "law and order crowd" will go to great lengths to arrest Drug Dealers, because of the OBVIOUS long term detriment of their evil trade. WELL my friend, the theory is the exact same, except...,(Oh how dumb of me. I forgot)............"IT'S LEGAL"

FUUK BUSH (etc) :down: :down:
 
I understand greed but wen the bank gets holding the deed on a home that was bought at $x amount but is now worth less than the loan amount, do they not loose money on that deal?

What I know about the banking industry is very limited but it seems that they sot them selves in the foot.
 
I understand greed but wen the bank gets holding the deed on a home that was bought at $x amount but is now worth less than the loan amount, do they not loose money on that deal?

What I know about the banking industry is very limited but it seems that they sot them selves in the foot.


Gar,

The banks who make the original loans often re-sell the loan facilities in the 3rd market... especially in the subprime market. Thus, those banks could care less because they know that they will not be the ones holding the bag. That is why you have seen a lot of hedge funds and I-banks take the heat.... because they bought the risky loans after market. (Who knows why these hedge funds and I-banks bought these facilities 3rd market; don't they pay those kids bucko bucks to keep them out of that mess).
 
I agree that people need to be held responsible for their own actions. Just because someone says you can qualify $x.xx amount does not mean you can afford that.

Having said that, don't the lending institutions have any responsibility in this cluster phuck? I would argue that they have at least a little (20%) maybe? I know a little about cars but not everything. I have a mechanic I trust and he has so far given me good info. I have a sister who has been in realestate for 25 years and she has watched my back. Some folks do not have that benefit so they trust someone who they should not trust. The result is they get in way over their head. Unfortunately we live in a day and age where everyone wants all the gold and does not realize that credit is not free money.

The part I do not get is why do institutions lend money to people who they should know cannot afford what they are buying? I am not in the business so I do not get it.

Lending institutions do hold some of the responsibility. It was irresponsible for them to sign up people for loans they could not afford. The result is now their employees and shareholders are paying the price.

When the mortgage bill comes in the mail the person who signed on the dotted line is ultimately responsible. No one put a gun to their head and made them sign. There is such a thing as common sense, something that seems to be lacking in this whole mess. I don't know anybody in the real estate or mortgage business. However I knew that signing up for one of these ARM, option ARM or some other sort of sub prime loans was irresponsible. Technically my wife and I could have afforded a more expensive house with a fixed interest rate loan. Working in the airline industry I knew that being stretched to the max on a mortgage payment every month was not a good idea. Just like I know not to go out and buy a $25000 car. Yes, we could afford it but it would not be financially prudent to do so.
 
Yea can I borrow those rosy glasses of yours :lol:


How about you borrow the rosy glasses of all these economist: Economists' Outlook Grows a Bit Rosier

The Federal Reserve may have stopped the economic bleeding caused by a summer credit crunch, the latest WSJ.com forecasting survey suggests, as economists turned more optimistic in the past month.

The survey, conducted Oct. 5-9, showed the average forecast for the chance of recession moved lower, to 34%. That was the first decrease since June and followed a forecast in the September survey of a 36% probability of recession.

Expectations for payroll growth and corporate profits rose for the first time in the second half. Meanwhile, most forecasts for gross domestic product either stayed the same or moved higher following four consecutive downward revisions.
 
What about the $9 trillion dollar debt and the fact that a huge portion of our debt is held by other countries? Someone will eventually have to pay for that.
 
Ah ha!

Bush was right and you proved it! :lol:


Yeah... I think Bush was mostly right regarding his overall economic principles from his 1st term (i.e. lower taxes, free trade, freer markets). This obviously fits into my economic philosophy (i do not intend to start an argument on who's taxes should have been lowered).

However, those principles typically require traditional fiscal conservatism. It usually goes like this: Fiscal Conservative Prez = less gov't. Less gov't = less expenses. Less expense = less taxes. Less taxes = more GDP.*

When, unfortunately, you have a president who has enhanced the gov'ts hand in America (more beuracratic oversight) and entered an expensive war, that equation no longer equals out.




*Narrow and simplistic
 
Did anyone notice that oil closed at a record high of $81.52 per barrel today and is above $82 in after hours trading? The US dollar is in free fall and the Fed just cut the Prime rate .50 basis points in a drastic move to stave off the coming recession. This rate cut is further undermining the US dollar and is putting our economy in severe peril. You notice I have not even mentioned the housing bubble blowing up and the credit market meltdown. All of this amounts to the fact that our economy is near collapse and we are only interested in OJ. It is my opinion that St. Nics' award, et al, may all be moot in the near future as we may all be on the street. What does anyone else out there think? It is looking the bleakest I have ever seen it, out there in economic land.
Don't look now.

"Oil zoomed to an all-time high above $85 a barrel on Monday."

Reuters article.
 
Don't look now.

"Oil zoomed to an all-time high above $85 a barrel on Monday."

Reuters article.

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Making my ol' pal.....................Eolesen's prediction of oil at $100, a "no brainer"

Truth be told(and I DON'T wish ANY airline employee Ill will), the faster the Inevitable occurs, meaning oil goes SO high it eradicates weaker carriers(hopefully into some sort of consolidation for the industry)................THE BETTER !!!!!!!!!!!
 
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Making my ol' pal.....................Eolesen's prediction of oil at $100, a "no brainer"

Truth be told(and I DON'T wish ANY airline employee Ill will), the faster the Inevitable occurs, meaning oil goes SO high it eradicates weaker carriers(hopefully into some sort of consolidation for the industry)................THE BETTER !!!!!!!!!!!

http://www.youtube.com/watch?v=I4s0nzsU1Wg