Hail the freeeeeee market!
As the debate over a $700 billion bank bailout rages on in Washington, one of the nation's largest banks — Washington Mutual Inc. — has collapsed under the weight of its enormous bad bets on the mortgage market.
The Federal Deposit Insurance Corp. seized WaMu on Thursday, and then sold the thrift's banking assets to JPMorgan Chase & Co. for $1.9 billion.
Seattle-based WaMu, which was founded in 1889, is the largest bank to fail by far in the country's history. Its $307 billion in assets eclipse the $40 billion of Continental Illinois National Bank, which failed in 1984, and the $32 billion of IndyMac, which the government seized in July.
I find it amazing that in this so-called freeeee market, that the Feds can come in and seize a bank and its (lack of) assets. The timing of this is very suspect as the congress "debates" the bailout.Originally Posted by Eric
Most of us know what the source of this financial collaps is, and no one is talking about the impact of our mounting trade deficits and the impact of free excess money on our balance sheets.
The real issue is Fed spending.
Already, and as JDM has been saying for 20 years, domestic debt...
Actual local economy is sound, a bankrupt gummint is not.
Walk away from house which you could not afford in the first place? Learn to live with it. Yet GWB has spent your future on a
poltical rambo-style war ... he will be writ in history as a sad figure. I recall the 2003 atmosphere when to oppose the war was
heresy... lies, lies and lies, like Nazis fed to their own in 1938.
The slimeballs are the people who recently wrote bad loans, because in America, it was more of a disease than individual fault.
Unfortuately, these are not individuals, but organizations.
In China when this happens, CEOs resign and are subject to public shame and penury, even to the point of death penalty.
Rob
Actually, the latest slimeballery is the product of government policy left over from the Clinton administration which wanted to make everyone a home owner and finances be damned. In fairness, it was no real change in longstanding government policy, rather an extension which lowered the entry costs.
The intriguing thing about the WaMu takeover was that none of the leaders knew about it until it was over.
The new CEO (three weeks into the job) was on an airplane when he heard about it.
The board heard about it afterwards.
I wonder if that was an intentional move by the FDIC, or if they really were that out of touch with their own business?
If I were an upset shareholder, the CFO is the first person I'd want an accounting from.
Chip H.
Former owner: 2012 Honda Civic LX, 2006 Honda Ridgeline RTL, 2000 Honda CR-V EX, 2003 MINI Cooper S, 1992 Honda Accord LX, 1999 Mercedes ML-320, 1995 VW Jetta GLX, 1991 Mercury Capri XR2, 1981 Mercury Zephyr, 1975 Chevrolet Impala
There are a lot of questions to be answered, and I am absolutely angry that congressional inquiries haven't started. The Bush Administration needs to be investigated and Paulson should be tried for something.
Yeah, blame Clinton.
You cannot accept that GWB has violated all US Constitution values, lying about threat after 9/11...
He is a war criminal, and you voted for him! What was the invasion of Iraq about? You were silent like a German in 1939.
Hitler didn't blame, he just went out... he threw out his military advisors with war on two fronts..gambling on British/American support. GWB caused the 2003 invasion of Iraq in similar vein. Dennis agreed with me that it was a bad idea, more-or-less opposed by the military, and it had no purpose but cheap oil via colonialism, plus of course all Muslim is evil..
And you wonder why devout Muslims want to attack America? Sorry, Clinton did not cause this. GWB and no-control caused it.
I could sit down with GWB and ask him about the chord changes in a Chopin piano concerto, and, he would be blank. Is that what you want from a leader? But you are Rep., done and dusted, and to give a black man control....? No, you are unable.
And I think Americans live by and large in la la land and to give them a vote is error. Except when we need them to save us...
I am gone for one week, I check my Wa-Mu account on line when I get back. It says "Welcome to JP Morgan". Now I know why.
-Don-
Oh sorry. We were going to tell you, but you were, you know, gone.
;D
Chip H.
Former owner: 2012 Honda Civic LX, 2006 Honda Ridgeline RTL, 2000 Honda CR-V EX, 2003 MINI Cooper S, 1992 Honda Accord LX, 1999 Mercedes ML-320, 1995 VW Jetta GLX, 1991 Mercury Capri XR2, 1981 Mercury Zephyr, 1975 Chevrolet Impala
The demise of WaMu has gone unnoticed due to the turmoil in the markets and admin.
A name like Wa-Mu is as ugly as an unburst zit, be glad it's gone.
Nhah nhah nhah...
oops, as a peniless socialist, I ought not be presumptive.
Who is J P Morgan?
God Save The Queen
A name like Wa-Mu is as ugly as an unburst zit, be glad it's gone.
LOL. YOu got that right.
"Who is J P Morgan?"
The full name would be JP Morgan Chase Bank.
IOW, Chase Bank.
-Don-
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