On 8/10/07, Daniel Davies <[EMAIL PROTECTED]> wrote: > is no credit crunch. There's a buyer strike in some bonds. So what. Some > people are going to lose money on high risk investments. That's what high > risk means. But there are an awful lot of twisted knickers around at the > moment, in the face of the fact that there *is no credit crunch*.
I don't think those speculators *want* to lose money. So they are making a lot of noise about the sky falling to pressure the Federal Reserve to bail them out. For the sake of "the distressed home owners" and the pension funds of course. So far it seems like the Fed as well as the ECB and other central banks are obliging them. For a particularly entertaining act, check out Jim Cramer's performance on CNBC: http://www.youtube.com/watch?v=cYPtCmdFCrc (See around 1:40 it is quite incredible.) -raghu.
