Do you recall the warnings that I’ve made, starting in 2006, about derivatives counterparty risk? Well, CDS paper is just one aspect: Pressure to reveal major AIG counterparties grows.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. “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. “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%
From DCB: Stimulus cash may spur massive inflation & jump in commodities.
Items from The Economatrix:
Unemployment Rate Bolts to 8.1%, 651,000 Jobs Lost in February
Stocks Turn Lower After February Jobs Data
Morgan Stanley Predicts Downturn Will be Worse than the 1930s Depression
GM Says it Will Go Bust in Days Without Bailout
Food Stamp Enrollment Jumps to 31.8 Million People
Paralyzed Markets Plunge to New Depths
Talks Underway to Sell Off The Hartford’s Life Insurance and Annuities Operations