Comments on: Blankfein Upbeat; Gross Distorts Data and Calls for Federal Rescue

By: Anonymous

Anonymous — Thu, 06 Mar 2008 17:01:00 +0000

I’m uncertain if this has been commented upon since this is the first chance I’ve had this week to read this blog.

I infer that Paul Krugman would side with Bill Gross on this issue with the monet shot (bad pun)quote, “Keep cutting, Ben!”

Hair of the dog – http://krugman.blogs.nytimes.com/2008/03/03/hair-of-the-dog/

By: dearieme

dearieme — Thu, 06 Mar 2008 15:45:00 +0000

I found Gross an illuminating writer until, some months back, he suddenly seemed to have become the master of special pleading. Rather a disappointment.

By: Anonymous

Anonymous — Thu, 06 Mar 2008 15:28:00 +0000

Bravo, great post. It is absolutely necessary to expose all of these parties that are talking their book all the time while pretending to help the masses.

By: Anonymous

Anonymous — Thu, 06 Mar 2008 14:53:00 +0000

Thank you, anon who pointed out that Gross and PIMCO are hardly a disinterested party. I was going to write that until I scrolled down to your comment.

By: Anonymous

Anonymous — Thu, 06 Mar 2008 14:30:00 +0000

I’ll take my lumps, but I’m not taking anyone else’s.

By: Anonymous

Anonymous — Thu, 06 Mar 2008 12:23:00 +0000

Reuters is reporting today that Pimco may have purchased UBS’ Alt-A mortgage portfolio for 70 cents on the dollar. The portfolio is estimated to be $25.7 billion.

Come on Gross. On one hand you are yelling about helping the market and at the same time, may have purchased a huge distressed portfolio that will generate major profits if the U.S. government truly does a major bail-out. Let’s have some full disclosure and honesty on Wall Street for a change.

By: Anonymous

Anonymous — Thu, 06 Mar 2008 10:54:00 +0000

Do you sleep? I work nights so I have an excuse (such as it is.)

Um, I strongly agree with your assessment that the two commentators are polar opposites and that calls for a Federal bailout won't do much to remedy the problem (save to put an 'artificial floor' under the housing market) while the debt burdened consumer 'drowns' under the rising tide of inflation.

I found your post about how income inequality contributed to the last Great Depression somewhat enlightening (as I was already aware of this) and how it seems to have precipitated the coming debacle that us 'common folks' are already calling the Greater Depression.

Which is to point out the obvious, that conditions on Wall Street have no relationship to conditions on Main Street.

Your final analysis is certainly laudable but I suspect that a majority of the consumers/workers will not be able to keep their heads above water while the situation 'runs its course'.

The 50% point of the income distribution is still less than 30k for men and around 17k for women...

That's half of the workforce...add over 80 million currently not in the workforce and you have a climate that is ripe for, well, let's just say the climate is not very 'stable'.