"THANK GOD It Passed!" Paulson Changes Tune On Bailout

[TheWatcher]

Stocks skid on news gov't won't buy banks' assets
Wednesday November 12, 3:52 pm ET
By Sara Lepro, AP Business Writer
Stocks plunge on dismal corporate reports, news gov't won't buy banks' scoured mortgage assets

NEW YORK (AP) -- A disheartened Wall Street fell for the third straight session Wednesday as investors absorbed another series of dismal corporate reports and news that the government won't buy banks' soured mortgage assets after all. The Dow Jones industrials fell 400 points, and all the major indexes dropped more than 4 percent.

(snip) There was more pain at mid-morning, when Treasury Secretary Henry Paulson said the government's $700 billion financial rescue package won't purchase troubled assets from banks after all. He said that plan would have taken too much time, and that the Treasury instead will rely on buying stakes in banks and encouraging them to resume more normal lending.

While the market had been pleased by the government's decision weeks ago to buy banks' stock, investors still hoped to see the financial industry relieved of the burden of the mortgage assets whose decline in value helped set off the nation's financial crisis. His comments, which underscored the anxiety that remains about the health of the financial system, sent stocks falling further.

Analysts believe the market is in the process of retesting the intraday low hit on Oct. 10, when the blue chips fell to 7,882.50.

http://biz.yahoo.com/ap/081112/wall_street.html



Well, Kids, We've been HAD. Color Me Surprised.

NOT.

[dkofos]

1. You were warned.

[TheWatcher]

2. Not me. Never supported the damn thing to begin with.

But I know there were some of us at DU who did, and very passionately.

I do not doubt that some meant well, but you never trust a fox to guard the henhouse.

This is what criminals do.

They are not to be trusted.

[reflection]

9. You are completely correct.

And although I try to see things through other peoples' eyes, I never understood how anyone could support the "bailout". Yet there were many here who were carrying the water for Paulson and Co.
:mad:

[ihavenobias]

21. Not just at DU, what about over at DailyKos? People threatened to cancel memberships

after Cenk wrote on September 19th.

People were FURIOUS that Cenk suggested the bail-out was a huge scam and that Obama should NOT go along with it. Look at their ridiculous responses!

[Mike 03]

14. Initially I supported it, even though I thought it wouldn't work.

So I plead "guilty."

[TheWatcher]

20. No shame, Mike.

Look, something DID need to be done, and I think we all knew that. We knew that those in power were not going to just sit by and watch the entire thing collapse.

But at the same time, as much as we all wanted something to be done, we were all compromised from the very beginning by the fact that those making the decisions are criminals who have no interest in We The People, or doing ANYTHING for the greater good of the country.

There never really was a chance that anything beneficial would get done.

All smoke and mirrors, designed to manage the public's perception, and allow them to once again, loot, steal, and rob whatever they want.

[moodforaday]

34. "something DID need to be done"

"Look, something DID need to be done, and I think we all knew that."

Not even that much is certain. It wasn't like the banks had no cash, they just weren't willing to lend it to each other. So they got more cash and they still aren't lending. There were signs it was a manufactured crisis (much like Iraq was, and much like - dare I say it? Nah).

There were several good alternative proposals raised not only on DU, but in the media and by Kucinich et al in Congress. One such proposal was for the government to guarantee mortgages to make sure homeowners would not default and not lose their homes. Only as much money would be spent as needed to prop up those debtors. The banks could stay safe knowing the loans would get repaid, and people would keep their homes. Wasn't that a better solution? Yes. So why didn't it get a fair hearing?

The reason it didn't get a fair hearing was that it was a rational solution to a real problem. But his wasn't what Paulson, the Fed and the banks were interested in. The problem was manufactured and artificially inflated to make sure everyone was running scared and supporting the plan in spite of all they had learned about the Bush administration. Fool me once...

[Renew Deal]

5. Yep, and the suckers and chicken little's on DU should begin admitting they were wrong.

They were warned that these guys were crooks. They've been crooks for the last 8 years. Nothing has changed.

[Neshanic]

6. You bet they were. But what can you do?

[Razoor]

3. why am I not surprised?

the american people got duped again

[SammyWinstonJack]

19. Some of us weren't duped but who cares what we think?

x(

[moodforaday]

26. To *really* face the problem

To really face the problem this must be said: how many people jumped on the bailout bandwagon because the Dems supported it? (With a few exceptions - as usual, Kucinich was right, we knew he was right, but then 'we' were called fringe.) How many people suppressed their misgivings because "they trusted Obama's judgment"?

Will the Dem leaders again say they didn't know it was a scam?

[OwnedByFerrets]

46. Sorry, but the people didnt get duped.....

the members of congress were still getting NO calls at a rate of 2-1. The damned "representatives" do what they always do....they disregard what WE want and do what their corporate masters tell them to do.

[chimpymustgo]

4. Thank GOD it passed!!!!!

I understand the BANKSTERS wanting it, but the DU cheerleaders????

[Renew Deal]

8. "I know this guy who works in the financial sector who says we need the money or you're all screwed"

The same brother who is part of the mess.

It was an armed robbery with a spoon hidden in a pocket.

[TheWatcher]

15. I'm surprised none of them showed up to defend it.

Perhaps the Rose Colored Brigade will be along soon to soothe us, and artfully dismiss away at all the conspiracy kookery and unwarranted paranoia at those of us who KNEW this was going to happen.

When are the American People finally going to get it.

Wall Street and TPTB are always going to do what's best for THEM. Not US.

They have no interest in Saving US. They only have interest in saving the interests which are their OWN.

They help create the Crisis, and then ride in as the "Saviors" with their "Solutions", which are nothing more than empty schemes.

I can understand people buying into it, because they want to feel good, they want to feel like something is being done, they want to believe things will get better, and they keep buying into the same old synthetic bullshit everytime, hoping for a different result.

How many times do they have to do this before people WAKE UP and realize the one, simple TRUTH.

WE. ARE. ON. OUR. OWN.

:rant:

[Zomby Woof]

42. I'm Not Surprised At All

[wroberts189]

7. Paulson believes in god? could have fooled me.

Our tax money is being looted by the very people who need it least ..the whole safe is already cleaned out .. in full sunlight ....now we are borrowing at astronomical levels.

HELLO???? Ya know I am getting a little tired of getting f'd over all the time.

Anyone out there feel the same????

[SIMPLYB1980]

10. Still glad it passed. Helped us win the election.

Do I think it needs to be fixed in a major way. You bet, but like I said then it won't be what it needs to be until we have Obama actually in the white house and a new congress. Flame away.

[TheWatcher]

16. Bullshit. Like I said above.

I know you want to believe in it, I know you want to feel good, something needed to be done, etc, etc, etc, but it was never their INTENT to do the right thing to begin with. If this does not illustrate that, then maybe you just can't get it.

Get it through your head.

They. Do. NOT. Care. About. YOU.

If you cannot see what has been done here, and the unadulterated HEIST that has been pulled on you, I won't flame you, but I will tell you I feel sorry for you, because you are not willing to see.

Some of us are only interested it seems in having our perception of things managed so we can lie to ourselves and feel good about things.

But it does not change the prevailing reality.

You were had.

I'm sorry. And I'm sorry for the many others who were had too, and those that may still be blindly carrying the water for this thing. Because we are ALL going to get hurt by this.

[Name removed]

18. Deleted sub-thread

Sub-thread removed by moderator. Click here to review the message board rules.

[TheWatcher]

23. Well let's try one more time. No childish insults please.

Explain to all of us how the bailout has worked, and how it can be magically fixed.

Explain away this latest news of Paulson's bait and switch and how it doesn't matter.

I'm dying to hear.

[TheWatcher]

24. That's what I thought.

Nothing but mindless insults and platitude talking points.

[SIMPLYB1980]

25. LOL! Funny two more responds here,

and a silly PM that you are to afraid to take a response to. I'm not upset I just think you are as stupid as you assume I am. Have a good night.

[TheWatcher]

35. Please, get over yourself, moran.

Last time I checked, you were not on my ignore list, so congratulations for being full of shit.

As far as me being stupid, the stupid one is you. If you can't support any of your arguments, and all you have is a bad case of internet courage and childish insults to hurl, then you are just another idiot with nothing to say, no substance to add.

You aren't looking for discussion, you are looking for disruption. That or a bar fight.

My offer in my PM still stands, tough guy.

Us limp wristed latte sippers out her in the Pacific Northwest are not as passive, nor as stupid as you think.

You started this, not me.

You would never have the means or the courage to finish it.

The stupid one is you. So far, your intellectual argument is, "Fuck You, you're a Republican, Obama will fix it."

VERY intelligent.

And speaking of stupid, I think the word you are looking for is "responses", which would be the proper plural for response.

Didn't learn much in the trailer park, did you?

[SIMPLYB1980]

37. Got your answer. LoL!

Not worth anymore of my time unless you accept, or do you not really want to fight me like your PM's say. I'm ready but if you want one you have to meet me.

[TheWatcher]

38. Just another coward behind the keyboard

I gave you the address sweetheart.

Your medicine is ready anytime you feel the need to take it.

Until then, you can try to impress us with your economic knowledge and support your original argument.

Which you don't seem to have the ability to do.

Judging from the level of your responses, you sound like a drunk little frat boy playing on mom's computer, still puzzled as to why his family tree doesn't seem to fork like all the other kids.

[SIMPLYB1980]

39. Funny your the one who wants to fight. Why would I wast my money coming to you.

You want a fight so bad you can pay for it. If not you are a Coward. Giveing you address to someone on the internet is not very smart either, but I doubt it's your real one. You are the real Keyboard warrior here or you wouldn't be sending me all of these childish PM's.

[TheWatcher]

40. Wow. You really don't have much of an education do you?

No wonder you have to childishly insult people to communicate. You can't even spell or use language properly.

G-I-V-I-N-G. Also "You're", which is the proper spelling of "You are". Now please, write that down so you remember it. Assuming you actually know HOW to write. Didn't teach you that in the trailer park either did they?

As far as the address goes, it's very real. And you are welcome to show up any time you please. I'm not sure what you're afraid of, but hey, like I said, I'll be here when you are brave or stupid enough to come collect. :hi:

It's been fun wasting time with you, but please, do run along.

And DON'T worry about the fact that your parents look so strikingly alike. I'm sure it's just a coincidence.

Now go on, I hear there's a big Monster Truck Rally on ESPN later tonight. You don't want to miss it!

Hurry!

[SIMPLYB1980]

43. This is just to much fun. Didn't really think it would go this long.

Let it all out I know you want to be just oh so upset with those of us who supported it. You do have some good cracks though.

[TheWatcher]

44. The problem still is you cannot provide any intelligent argument

As to why it should have been supported, how we have benefited from it, and what steps can be taken to fix the problems we have, now that it has been exposed as a fraud.

Go ahead, we are listening.

Support your argument.

Prove to me that you are more than a dumbed down idiot who simply repeats what he hears on TV and states it as fact. Show us you are not a person who can't form an independent thought or process information objectively to reach a conclusion.

Go on.

The problem with fools like you is you think everything is a game.

[SIMPLYB1980]

45. Plenty of things can happen to help make it better.

I like the Idea of directly helping homeowners (only those with one house) I also think that the government should buy control of some of these banks instead of just handing them the cash. Many other thing need to be done which is why I'm glad they didn't give them all the money In one installment, even better ideas will come forth before they have to come back and report on how things are working which we all know will be porely. Well got to go to work tomorrow so I'm headed to bed, I realy do hope you sleep well tonight beside our bitterness.

[TheWatcher]

48. Wow. Just, WOW.

Thanks for proving my point.

All you need to do is watch the TV, and it will tell you everything you need to know. Because that is about all you can manage apparently.

Good Luck, kid. You'll need it.

[SIMPLYB1980]

49. LoL. The only TV "news" I watch are the occasional vids on sites I go to,

unless you consider c-span and PBS the news. I read a lot though, My local paper, DU, Kos, ect... and even some sites that don't agree with me on anything. I wonder do you think that the people we just elected to power will do nothing to make our situation better? If not why did we bother to elect them? Shouldn't we have just all stayed home and said fuck it they won't change anything why bother to vote. Oh well maybe we should have just "LET IT BURN!" like so many people wanted to do. I'm glad that Obama understood that was not an option.

Good luck to you to. We'll all need it.

[apocalypsehow]

30. That's all the handout cheerleaders have got. When they start babbling about vaccines & Australia

and every thing else but the actual 700 billion dollar handout to Wall Street multi-millionaires, you know it's bad for their cause. Funny thing is, they don't ever realize how stupid they look, and keep right on hurling invective in lieu of actually defending their position.

[moodforaday]

27. What are you going to fix

when the money's already gone - a big chunk of it anyway, and the rest will be gone by January? Will Obama ask the banks and CC companies kindly to give it all back?

[TheWatcher]

36. He has noithing to respond with.

Nothing but Fuck You's and insults.

Another petulant little bitch bravely hurling pebbles from behind the safety of his keyboard.

[fascisthunter]

32. Wow... that is some terrible spin

[wroberts189]

11. BTW ..Kucinich ..RIGHT AGAIN as always. eom

[dkofos]

13. Damn. That little guy is ALWAYS RIGHT!!

[fascisthunter]

33. Yyyyup!

as long as I have been a memeber here, Liberals have been right about everything, or at least most everything. No wonder they are attacked so vigorously... we empower the people, and the wealthy powerful don't like that, nor do their sychophants.

[Tierra_y_Libertad]

12. So, is God going to bailout the bailout?

Nah. He's always broke according to the preachers. Pass the basket.

[Joe Chi Minh]

17. I wonder if Naomi Klein's exposes and the fact that Obama has shown

in no uncertain terms that he will be a strong President, and is prepared to act, and enact an honest, progressive agenda, has brought about this change in their bail-out thinking.

In other words, Paulson et al bethought themselves that they could live to regret any "disappeared" money, by way of claw-backs.

[ContinentalOp]

22. Wait, I'm totally confused. This sounds great to me. Why is this bad news?

Originally we were going to buy worthless investment products from the banks to make them go away. Essentially wiping all of that bad risk off of their balance sheets. Socializing the risk but letting them keep their profits.

Now he's saying that we'll be buying a stake in the banks? Just giving them money in exchange for partial ownership and they can use that money to resume lending as normal? How is this bad? That's what many people here were advocating when the bailout talks were underway.

They told us this thing was a "credit crisis" so why not just infuse the banks with cash and make them keep giving loans? Buying their bad debts was just a way to let a bunch of crooks off scott free.

[leftstreet]

28. It's actually a "stagnating wage crisis"

so infusing banks with cash won't mean people can pay back the loans

[OwnedByFerrets]

47. They are using OUR money to pay dividends.....

pay executive bonuses and buy smaller banks. They are NOT doing ANYTHING to help middle america.

[DU GrovelBot]

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[lib2DaBone]

31. Looking back... I said ..."Not just No...... But Hell No"!

.. the argument on DU was, "The risk of doing nothing is greater than the risk of passing this bill." The ATM Machines will freeze up and we'll all be doomed.

Now, the $700 Billion is going to Executive Bonuses and Spa treatments for AIG CEO's.

(sighhh...) 8 years and the Dems STILL haven't learned that Bush is a snake.

That $700 Billion could have funded soup kitchens and health care for millions. THe American people are so 'friggin stupid.. they deserve what they are going to get.

[anigbrowl]

41. Funny, a lot of people who were anti-bailout said they wanteed equity for their money

Now they're getting it and still not happy. Hmm.

I think he's been reasonably successful so far: teh TED spread is back to something approaching normal levels, which was the critical issue at the time: http://www.bloomberg.com/apps/quote?ticker=.tedsp:ind ..and believe me, if that had kept going up the way it was, we'd be seriously fucked, ie general collapse as opposed to a nasty recession.