Do you recall the warnings that I’ve made, starting in 2006, about derivatives counterparty risk [1]? Well, CDS [2] paper is just one aspect: Pressure to reveal major AIG counterparties grows [3].Stay tuned, as the economic depression unfolds, and we see hundreds of counterparties cease to exist. Who will get caught holding the bag?
I spotted this linked at Drudge: 12 percent are behind on mortgage or in foreclosure [4]. “A stunning 48 percent of the nation’s homeowners who have a subprime, adjustable-rate mortgage are behind on their payments or in foreclosure…”
From reader Mike K.: We Are Facing an ‘Inflation Holocaust’: Jim Rogers. [5] “We had the worst excesses we had in credit markets in world history. We’re going to have to take some pain,”
Luddite Jean sent us this Daily Mail article: Bank of England prints £75 Billion and slashes interest rates to 0.5% [6]
From DCB: Stimulus cash may spur massive inflation & jump in commodities [7].
Items from The Economatrix:
Unemployment Rate Bolts to 8.1%, 651,000 Jobs Lost in February [8]
Stocks Turn Lower After February Jobs Data
BofE Starts Printing Presses [9]
Morgan Stanley Predicts Downturn Will be Worse than the 1930s Depression [10]
GM Says it Will Go Bust in Days Without Bailout [11]
US Stocks Down [12]
Food Stamp Enrollment Jumps to 31.8 Million People [13]
Paralyzed Markets Plunge to New Depths [14]
Talks Underway to Sell Off The Hartford’s Life Insurance and Annuities Operations
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