Comments on: Government by Stealth: the GSE affair continues http://www.ritholtz.com/blog/2009/12/government-by-stealth-the-gse-affair-continues/ Macro Perspective on the Capital Markets, Economy, Geopolitics, Technology, and Digital Media Tue, 14 Feb 2012 23:17:23 +0000 hourly 1 http://wordpress.org/?v=3.0.5 By: RiskAverseAlert http://www.ritholtz.com/blog/2009/12/government-by-stealth-the-gse-affair-continues/comment-page-1/#comment-244840 RiskAverseAlert Wed, 30 Dec 2009 01:42:47 +0000 http://www.ritholtz.com/blog/?p=47294#comment-244840 Fifteen months gone by and only 1/4 into aid already approved by Congress and GSEs suddenly need an unlimited line, eh? Hmmm. I guess that's one step closer to confirming the growing belief that, a lot more untradable, securitized crap than currently is backstopped stands perilously at risk. Fifteen months gone by and only 1/4 into aid already approved by Congress and GSEs suddenly need an unlimited line, eh? Hmmm. I guess that’s one step closer to confirming the growing belief that, a lot more untradable, securitized crap than currently is backstopped stands perilously at risk.

]]> By: Take a name ass wipe http://www.ritholtz.com/blog/2009/12/government-by-stealth-the-gse-affair-continues/comment-page-1/#comment-244362 Take a name ass wipe Sat, 26 Dec 2009 18:58:26 +0000 http://www.ritholtz.com/blog/?p=47294#comment-244362 How to play it? Short the long end as this move does nothing but add more supply to the massive debt offerings for the next year. Global sovereign debt to be sold next year as a percentage of GDP, surpasses that at the end of WW II. The return from that debt post WW II was great as we saw the rebuilding of Europe, the expansion of the middle class in the US and the rise of the US as an industrial giant. The returns of the debt load this time around will offer nothing other than extend, pretend, further bail outs of the financial sector and the continuation of the US debt Ponzi scheme. How to play it? Short the long end as this move does nothing but add more supply to the massive debt offerings for the next year. Global sovereign debt to be sold next year as a percentage of GDP, surpasses that at the end of WW II. The return from that debt post WW II was great as we saw the rebuilding of Europe, the expansion of the middle class in the US and the rise of the US as an industrial giant. The returns of the debt load this time around will offer nothing other than extend, pretend, further bail outs of the financial sector and the continuation of the US debt Ponzi scheme.

]]> By: Cybernaught http://www.ritholtz.com/blog/2009/12/government-by-stealth-the-gse-affair-continues/comment-page-1/#comment-244357 Cybernaught Sat, 26 Dec 2009 18:37:17 +0000 http://www.ritholtz.com/blog/?p=47294#comment-244357 It is chicken shit. And, it is the way things are done. So how to play it? Will help keep artificial housing boomlet going but mainly seems to guarantee the holders of GSE debt maturing in the next three years their return. What banks are heaviest in that area? It is chicken shit. And, it is the way things are done. So how to play it? Will help keep artificial housing boomlet going but mainly seems to guarantee the holders of GSE debt maturing in the next three years their return. What banks are heaviest in that area?

]]> By: Take a name ass wipe http://www.ritholtz.com/blog/2009/12/government-by-stealth-the-gse-affair-continues/comment-page-1/#comment-244353 Take a name ass wipe Sat, 26 Dec 2009 17:34:41 +0000 http://www.ritholtz.com/blog/?p=47294#comment-244353 I don't understand Mr Kotok's argument. At first he comes off as disgusted by this Dec. 24th treasury announcement. Then he approves of this complete taxpayer bailout for all of Frannie's losses, heads I win, tails you lose. Finally he threatens to go on CNBC to remind Treasury there are no secrets as he applauds them for thier patriotic efforts. Mr. Kotok has stated he is fully invested in this market. His false indignation is just that, false. He argument becomes conflicted as he talks his own book. In reference to the Xmas eve announcement, it is nothing more than a chicken shit move, by a chicken shit player within a chicken shit administration. Nothing new. I don’t understand Mr Kotok’s argument. At first he comes off as disgusted by this Dec. 24th treasury announcement. Then he approves of this complete taxpayer bailout for all of Frannie’s losses, heads I win, tails you lose. Finally he threatens to go on CNBC to remind Treasury there are no secrets as he applauds them for thier patriotic efforts. Mr. Kotok has stated he is fully invested in this market. His false indignation is just that, false. He argument becomes conflicted as he talks his own book.

In reference to the Xmas eve announcement, it is nothing more than a chicken shit move, by a chicken shit player within a chicken shit administration. Nothing new.

]]> By: Greg0658 http://www.ritholtz.com/blog/2009/12/government-by-stealth-the-gse-affair-continues/comment-page-1/#comment-244323 Greg0658 Sat, 26 Dec 2009 09:07:25 +0000 http://www.ritholtz.com/blog/?p=47294#comment-244323 I think I approve of the taxpayer backstop myself. Its all very complicated and I'm not sure I understand this game fully. I see it as a means to halt cities and towns of being turned into company towns. That beaver dam scenario for my watchers. Can any institution backstop the foreign owned factories too, or must they remain in overseer hands? I think I approve of the taxpayer backstop myself. Its all very complicated and I’m not sure I understand this game fully.

I see it as a means to halt cities and towns of being turned into company towns. That beaver dam scenario for my watchers. Can any institution backstop the foreign owned factories too, or must they remain in overseer hands?

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