Don't forget that a lot of that corp paper was going Private Equity, which has been driving some serious froth and undue corp asset inflation these past few years thanks to easy money in that market. And now there's more than some concern in P/E, conference call explicitly to that effect today, about what this means for future deals/borrowing.
So we may simply be witnessing the end of the P/E craze, which I think needed to be legislated anyhow (against Chuck Schumer's wishes, alas).
For my part I don't care, my resume's been updated and out the door for a couple of months. As has the CV.
Next year in Marseille, perhaps. Or Annecy. Fai de bèn a Bertrand, te lou rendra en cagant
(Had to look up "secular" in "secular decline". Less Harry Potter for me for a while.) -----sapere aude
I havent heard fershlugginer in a coon's age You can't be me, I'm taken
Asked about collapsing housing markets, and the risk of them declining further, Mr. Bush said: "In a way it's a necessary reaction to a flood of liquidity that came into the market in the past couple years." That was financial jargon referring to the past several years of easy money, some of it from overseas, at low interest rates. Mr. Bush said that as a result of the deep pools of money available, "housing got really hot" and that a decline was inevitable. He added that "if the market functions normally" it will lead to a soft landing. "That's kind of what it looks like so far," he contended.
Mr. Bush said that as a result of the deep pools of money available, "housing got really hot" and that a decline was inevitable. He added that "if the market functions normally" it will lead to a soft landing. "That's kind of what it looks like so far," he contended.
What a surprise... Yeah, easy money are to blame for volatility or whatever, but...
The president said he also discussed with Mr. Paulson and other cabinet members the possibility of tax cuts and reduced regulations aimed at overcoming what some see as a weakening of the competitiveness of American capital markets compared with those overseas. [...] [Mr.] Bush sounded several familiar themes, accusing Democrats of wanting to raise taxes and embark on wasteful spending. He said he would veto legislation to expand the children's health insurance program, charging that it would raise taxes and "nationalize" the health sector, and reiterated his threat to veto other spending bills that went over his budget request. The statement appeared to signal the White House's plan to go on the offensive in the fall to counter criticism and widespread economic anxiety by confronting Democrats on time-tested Republican themes like keeping taxes low and spending under control.
[Mr.] Bush sounded several familiar themes, accusing Democrats of wanting to raise taxes and embark on wasteful spending. He said he would veto legislation to expand the children's health insurance program, charging that it would raise taxes and "nationalize" the health sector, and reiterated his threat to veto other spending bills that went over his budget request.
The statement appeared to signal the White House's plan to go on the offensive in the fall to counter criticism and widespread economic anxiety by confronting Democrats on time-tested Republican themes like keeping taxes low and spending under control.
The more financial engineering you have, the more chance is there for a handful of Ponzi or pyramid subschemes. Especially when everyone is still looking for maximal positive excitement.
