tag:blogger.com,1999:blog-4815867514277794362.post1453204363326483658..comments2024-03-08T06:18:28.125+11:00Comments on Bronte Capital: Is this one of the most extraordinary government actions ever?John Hemptonhttp://www.blogger.com/profile/03766274392122783128noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-4815867514277794362.post-89434488774630192932008-09-29T14:03:00.000+10:002008-09-29T14:03:00.000+10:00I'm another big loser in WaMu stock and bonds, hav...I'm another big loser in WaMu stock and bonds, having been confident enough even to have picked up another 1K shares ON D-day. I confess a lack of understanding of current receivership and direction for possible action, but I'll be sure keep a very close eye on your blog! The whole mess just reeks to me...Eidolonhttps://www.blogger.com/profile/17974898524227123251noreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-2375322285580412752008-09-27T06:02:00.000+10:002008-09-27T06:02:00.000+10:00The *only* positive in all of this is that Paulson...The *only* positive in all of this is that Paulson has the balls to act "non-predictably".<BR/><BR/>To demand predictability from the Fed and US Treasury in this kind of situation is essentially demanding that someone must be given the free hand to make a profit. It's the definition of moral hazard. If action is to be taken, the public actor must have exactly the same kind of right of discretion and free hand as any private actor would, otherwise it is neutered from the start.<BR/><BR/>Striking fear into the hearts of markets in general, and bailing out strategically when truly necessarily, is the correct course of action here.Tiuskea Rakkihttps://www.blogger.com/profile/12060058590319683022noreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-28031690668601068542008-09-27T04:20:00.000+10:002008-09-27T04:20:00.000+10:00What was arbitrary and capricious? There is no he...What was arbitrary and capricious? There is no heads up given, ever. Regulators takeover the bank after the close of business. Typical done on a Friday, but is there anything noteworthy about the day of the week.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-86932753346750301372008-09-27T04:12:00.000+10:002008-09-27T04:12:00.000+10:00Sometimes there's less than meets the eye. My gue...Sometimes there's less than meets the eye. My guess, somebody just wanted to take the weekend off, for once, to go fishing.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-43248809703382804572008-09-26T21:15:00.000+10:002008-09-26T21:15:00.000+10:00zzzyx has made the right observation. WaMu's bala...zzzyx has made the right observation. WaMu's balance sheet was scary. When I purchased the preferred I thought there was maybe a 30% chance of an FDIC takeover.<BR/><BR/>But there are plenty of small banks with worse balance sheets. <BR/><BR/>This could get very interesting.<BR/><BR/>JJohn Hemptonhttps://www.blogger.com/profile/03766274392122783128noreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-63856646196400964732008-09-26T19:03:00.000+10:002008-09-26T19:03:00.000+10:00It is interesting to know what you think about th...It is interesting to know what you think about <A HREF="http://wallstreetexaminer.com/blogs/winter/?p=1918" REL="nofollow"> this </A> theory.Eugenehttps://www.blogger.com/profile/06945183660225985459noreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-2242624670236321912008-09-26T16:25:00.000+10:002008-09-26T16:25:00.000+10:00This certainly seems extraordinary in the context ...This certainly seems extraordinary in the context of other takeovers, and non-takeovers. One can look at IndyMac before it was taken over....the balance sheet was an absolute disaster. You can look at a bank like FirstFed right now, thinks look pretty scary. By those comparisons, WaMu is (was) still well-capitalized and pretty well-reserved for loan losses. A bit of a puzzler.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-38287528297330294612008-09-26T15:50:00.000+10:002008-09-26T15:50:00.000+10:00could it also be some 'grandstanding' for effect t...could it also be some 'grandstanding' for effect to shock the masses into the whole see the bailout is needed now thing?<BR/><BR/>mccains move, bushs speech, even tie buffet in all look like ralleying the troops for the cause...<BR/><BR/>I dont have the background to judge the following, is this normal?<BR/>http://market-ticker.denninger.net/archives/590-FLASH-Fed-Speaking-Out-Both-Sides-Of-Mouth.htmlAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4815867514277794362.post-90562997311188291732008-09-26T15:46:00.000+10:002008-09-26T15:46:00.000+10:00Simply this action and timing is part of the effor...Simply this action and timing is part of the effort to railroad Congress to pass the Paulson bailout bill. These people are ruthless.Anonymousnoreply@blogger.com