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News & ArtsThursday, June 21, 2012
Money Moody's Slashes Credit Ratings of Big Banks
Posted by Paul Constant on Thu, Jun 21, 2012 at 2:55 PM
Ha ha ha ha! How do you like it, you sons of bitches? How do you like having your fortunes imperiled by forces beyond your control?
Moody's Investors Service has lowered the ratings of some of the world's largest banks, including Bank of America, JPMorgan Chase, Citigroup and Goldman Sachs.
The ratings agency said late Thursday that the banks were downgraded because their long-term prospects for profitability and growth are shrinking.
Actually, wait. Shit. This is probably going to come back and bite us little people on the ass, isn't it? Fuuuuck.
2
In theory, banks shouldn't need "credit ratings" because they have all the money...they are supposed to be loaning it out to others, not trying to get more.
Same thing with Chris Hansen and the stadium.
Three billionaire investors shouldn't have to hijack a city to get them to shave a point off a $200 million loan under some "great deal".
Let them spend their money.
3
Which is another way of saying "You're not building up another bubble fast enough."
Our two choices are:
1) Allow the Holy Markets unfettered reign to create ever bigger and more tenuous financial bubbles
2) Or no access to liquidity excepting for a tiny billionaire few
Oh. Grrreeeaaaat.
the banks were downgraded because their long-term prospects for profitability and growth are shrinking.
Which is another way of saying "You're not building up another bubble fast enough."
Our two choices are:
1) Allow the Holy Markets unfettered reign to create ever bigger and more tenuous financial bubbles
2) Or no access to liquidity excepting for a tiny billionaire few
Oh. Grrreeeaaaat.
4
Oh look, yet another reason to not ever do any business with the big banks, ever. As if we needed more.
6
Credit Unions.
They have checks, debit cards, and credit cards.
And you keep more of your money locally, instead of Wells Fargo outsourcing all the US jobs to India and China like they just did.
They have checks, debit cards, and credit cards.
And you keep more of your money locally, instead of Wells Fargo outsourcing all the US jobs to India and China like they just did.
10
The banks were downgraded in large part due to their potential counterparty exposure to European banks and European soverign debt.
Boys and girIs, if we have a major Euro bank
go horizontal, it will make the Lehmans Bros. bankruptcy look like a cake walk.
Sorry, but this is far from over.
Boys and girIs, if we have a major Euro bank
go horizontal, it will make the Lehmans Bros. bankruptcy look like a cake walk.
Sorry, but this is far from over.
11
But who are these people who get to give out scores to nations and banks? What do they know? Who came down from Heaven and gave them this divine authority? Who says that their wisdom is so perfect and infallible?
I say it's a load of crap, smoke and mirrors, nothing at all. They have all this power and authority simply because we believe them. They're not there are consumer watchdogs - that would be the regulators - and they don't analyze things from the consumers' perspective. Frankly, I'd be concern if they increased the banks' ratings, because that just means they're doing a good job of screwing us up.
I say it's a load of crap, smoke and mirrors, nothing at all. They have all this power and authority simply because we believe them. They're not there are consumer watchdogs - that would be the regulators - and they don't analyze things from the consumers' perspective. Frankly, I'd be concern if they increased the banks' ratings, because that just means they're doing a good job of screwing us up.
12
There are exchange-traded and mutual funds that specialize in inverse financials: that is, the investor makes money when the bank stocks go flat. Example: ProShares UltraShort Financials (SKF)
The Canadian banks according to Value Line are very strong and dividend-yielding. Short those. A few years back Banco Santander was flying high, now it is the butt of jokes on Mock the Week.
The Canadian banks according to Value Line are very strong and dividend-yielding. Short those. A few years back Banco Santander was flying high, now it is the butt of jokes on Mock the Week.
13
@11
If you're going to get that meta about this, I would say the reason why they have this authority is because they sit on obscene amounts of money. You can argue that that money is seemingly worthless if it has no value in any economy, but really all they need is to be able to trade goods in exchange for armed security that they can use to impose their will.
It's less complicated than you think.
If you're going to get that meta about this, I would say the reason why they have this authority is because they sit on obscene amounts of money. You can argue that that money is seemingly worthless if it has no value in any economy, but really all they need is to be able to trade goods in exchange for armed security that they can use to impose their will.
It's less complicated than you think.
14
9, iviola, it's already war. It's been war for a long time now. And they're winning handily. Fight back now.
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