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Tag Archives: Congress

Senator Dodd’s excellent proposal

From Jesse’s Cafe…
~~~~ ” Senator Chris Dodd made an interesting proposal this afternoon, and on thinking further it seems to be one of the most reasonable and practical suggestions that we’ve heard during this crisis.
The Senator proposed that whatever givebacks, restrictions, haircuts, penalties, oversight, pay cuts and equity arrangements that are written into the bridge [...]

The bailout is over…

Excellent news from Washington… the bailout is over… at least in the current form… 
~~~~ ” Nov. 17 (Bloomberg) – The Bush administration told congressional aides it won’t ask lawmakers to release $350 billion remaining as part of the $700 billion U.S. financial- rescue package, people familiar with the matter said.
The administration of President George W. Bush ends [...]

Treasury Round 3

Secretary Paulson sought and received $ 700 billion of taxpayer funds to stabilize the banking system… he originally proposed to purchase toxic assets but is now moving towards the third iteration of the process… the 3 rd round … how should we evaluate if this is working?
1. Buy toxic RMBS and other securities from banks [...]

Robert Byrd…

Senator Robert Byrd of West Virginia started serving in the US Senate before many Americans were born…
He is 91 years old and 3rd in line of succession to the Presidency…
He has announced that he is relinquishing the chair of the Appropriations Committee…
I’m sure many others will recount the less illustrious parts of his tenure… but [...]

Boot strap win…

Chris Cooper, of the WSJ, talked in this video about the Obama’s campaign astounding “boot strapping win”… a “ground game which no one has ever seen”… organizing from the bottom up… how a political operative said “it was the strangest thing he had ever seen…”.
Enormous credit must be ascribed to President-Elect Obama and especially his campaign [...]

Lend…

House Financial Service Committee Chairman Barney Frank (D-MA) today released the following statement regarding provisions in TARP:
~~~~ “I am deeply disappointed that a number of financial institutions are distorting the legislation that Congress passed at the President’s request to respond to the credit crisis by making funds available for increased lending.  Any use of the [...]

Loans or acquistion funds?

          
EDITORIAL   
Loans? Did We Say We’d Do Loans?
~~~~ “According to Treasury Secretary Henry Paulson, the chief proponent of the big bank bailout, flooding the banks with taxpayers’ money was supposed to get them to start lending freely again. And that, in turn, was supposed to stabilize the markets and prevent the [...]

Standardize the scales…

From BBG…
~~~~ ” California’s Lockyer Chides Raters Over Delay in Muni Overhaul 
By Michael B. Marois
Oct. 21 (Bloomberg) — Moody’s Investors Service and Fitch Ratings are wrong to delay plans to change how they grade U.S. municipal bonds because of turmoil in global financial markets, California Treasurer Bill Lockyer said.
The upheaval on Wall Street should be an impetus [...]

The role of regulation…

Role of Federal Regulators in the Financial Crisis… House Oversight Committee hearing … Thursday, October 23, 2008, in 2154 Rayburn House Office Building. The hearing will examine the roles and responsibilities of federal regulators in the current financial crisis.

Rating major global financial institutions…

From the testimony of Stephen Joynt, President and CEO of Fitch, Inc., to the House Oversight Committee just now… 
~~~~ ” …. It has been difficult to find balance in assigning ratings of major global financial institutions during the current financial crisis.
While the public ratings reflect the fundamental analysis of each company, they do not, and have not, anticipated [...]