I have heard over and over again from the Republicans that Obama gives "pretty speeches". Obama's speeches are more than just "pretty". Since yesterday he has called for calm while addressing crucial issues how very different from either Bush or McCain.
Bush was neither inspiring nor comforting this morning. Now would be a good time for a president to inject hope and confidence for the American people.
Indigo
· 1 year ago
Primero Noticias (live from Mexico City amd broadcast on Galavisión in the States) carried the speech live with translation into Spanish. (The Spanish was somehow more grammatical than the Engish.) Afterterwards, the show's host, Carlos, paused to smile directly into the camera, then went direclty to the fútbol scores without comment.
HereinDC
· 1 year ago
Then don't repeat or post the false negatives the GOP spews.
Don't repeat it.....even on a Liberal site.
Just like that Cyber Bully ad you hear on the radio. Don't repeat it.
JohnInTexas
· 1 year ago
Nobody can take the man serious when they put a row of books behind him, we all know he probably has never read that many in his entire life.
truebluecoondog
· 1 year ago
Yeah, I guess "The History of Salt" wasn't much help in preparing him for this. If he's only gonna read ONE book (Pet Goat doesn't count), maybe he should pick one more relevant to the office he has stolen.
tbhull
· 1 year ago
A beaten dog?
tbhull
· 1 year ago
Presidential impotence?
Bush looks captive to that portion of last night's bourbon and coke that has not completely exited his system.
Apphouse50
· 1 year ago
On Morning Joe they were commenting on how tired, drawn, and down he looked. I bet. He probably checked his retirement fund this morning.
They all oughta be looking pretty bad.
grandma
· 1 year ago
What's really amazing is that this is the administration ..the same people...that wanted Clinton impeached, a President who I think will go down in history as one of the great ones.....and yet this buffoon named Bush is still in office, and taking the country down with him.
Ginger_FL
· 1 year ago
So much for the "Crisis".... Dow opened up some 200 points this morning...it's still running 189 +
HereinDC
· 1 year ago
Johnah McPalin
No public events scheduled Tuesday Sept 30th
grandma
· 1 year ago
SnowJob Square Glasses is at 'Debate Camp'
General Zod
· 1 year ago
Who lives in an igloo at the Bering Sea?
NealB
· 1 year ago
Dow opens up 2½%.
So, it seems all the talk about a wipeout yesterday was exaggerated.
General Zod
· 1 year ago
Moosemeat for Everyone!
aquarius2
· 1 year ago
OT
This clip reinforces a burning question I have. What the hell does this woman Mika add to the Morning Joe show other than to act as a Scarborough cheerleader. Her behavior in this clip is typical. Scarborough is going to be himself with or without a parrot sitting on his shoulder. Her saying, "yes" all the time just really irks me.
Ginger_FL
· 1 year ago
The only "Crisis" is that there is no oversight...these mega-corps are being allowed to develop and normal people are losing their homes. Hell, renters are losing their homes because the houses are forclosing out from under them.
aquarius2
· 1 year ago
Well, McCain didn't try and take credit for Obama's proposal to increase the FDIC to $250,000. I was shocked he even mentioned it.
aquarius2
· 1 year ago
Sorry wrong clip. I meant to put that under the mcCain clip.
Dave of the Jungle
· 1 year ago
The stock market reaction is secondary to the crisis, which is in the credit market.
Jim Olson
· 1 year ago
So let's review.
The worst attack on American soil since Pearl Harbor.
An expensive, unnecessary war in Iraq, with 4000+ dead.
An underfunded, ignored war in Afghanistan, with 1000+ dead.
The largest deficit in American history, which immediately followed a large surplus after the Clinton administration.
The largest one-day drop in the stock market in history, equivalent to 7% of value, leaving the stock market where it was 8 years ago.
Erosion of Constitutional principles of fairness and justice.
American power, influence and honor at its lowest point ever.
And on and on. This Presidency has failed, and will go down as the worst one in American history.
Tragic.
Dave of the Jungle
· 1 year ago
I nominate George W Bush for Worst President Ever, bar none.
grandma
· 1 year ago
and in all honesty I don't think Bush gives a rat's ass about any of it as long as he and his buddies are taken care of.
Webster
· 1 year ago
CBS reported that the national debt has grown 71.9 percent since Bush took office--more than under any previous president.
He should not only appear beaten, he should be beaten.
Dave of the Jungle
· 1 year ago
The Election Fraud Emperor has almost finished ruining the country. Stay tuned.
Webster
· 1 year ago
Oh, and waterboarded. I almost forgot.
KarenMrsLloydRichards
· 1 year ago
You forgot: the loss of one of the world's greatest multicultural cities.
sittenpretty
· 1 year ago
BAILOUT INSIDER phone call..its long sorry,bend over everybody
Update: Here are the notes promised. Calculated Risk had put up the conference call number. so some of this is the listener's notes, some are hoisted from CR. They are admittedly skeletal at points, but track and enhance the live blogging report at DealBreaker. You can download a torrent for the call here, which I intend to do post haste and will amend the post accordingly. I've included the long form notes below, but some items jump out:
1. The tranching is a mere formality, and the Treasury boys as much as said so. They could take the $700 billion max as soon as the bill has passed,
2. However, they do not plan any action immediately, will wait a couple of weeks. They want to focus their efforts on stronger companies but also made noise about protecting the financial system. This, by the way, is the Japanese convoy system all over.
3. There seemed to be a lot of tap dancing about what price they will pay for assets and no straight answer about their policy on warrants. They did say that if the amount sold was greater than $100 million, they would take warrants. FYI, the current draft allows them to pay up to the price at which the assets were initially booked (yikes) . I wonder if this is obfuscation, if they have an idea of what the plan to do but will not admit it in any public forum.
4. As the person who listened to the call stressed, DealBreaker wasn't clear on the bifurcated process. If you come to the Treasury and you are in trouble, you get reamed. Bear/AIG style treatment, execs probably fired. But if you participate on a voluntary basis, the intent is to make it very user friendly. That is consistent with Paulson's position during the negotiations.
5. The exec comp provisions sound like a joke, They DO NOT affect existing contracts, they affect only contracts entered into during the two years of the authority of this program and then affect only golden parachutes. More detail on that point, but I don't need more detail to get the drift of the gist.
Further below are the notes, admittedly somewhat cryptic at points, but hopefully helpful. But if you have time, listen to the download. Be warned I may revise and add to the post once I have done so.
Update 12:30 AM: Have queued up recording of conference call but not yet listened to it. But reader and sometime contributor Lune provides a useful take. Hoisted from comments:
1) If even the Treasury is saying tranching is a formality, then it really is nothing. Not sure why Dems fought so hard for a fig leaf.
2) Waiting a couple of weeks because no one has any idea when or where the next bomb will blow up. In other words, all their doomsday scenarios about Black Monday were B.S. They screamed the check had to be written by Monday, but now they're saying they actually have a few weeks before they need to cash it. Plus, this will allow them to "seek guidance" from GS, JPM, and other selfless public servants about where the money should be funneled.
3. The tap dancing is because they don't want it to get out that they'll be giving a sweetheart deal. The public won't be following each individual transaction to see exactly what price is being paid. So ridiculously overpriced asset sales can be hidden in the details, and by the time some reporter (or blogger :-) combs through and analyzes the transactions, the deed will have been done. But if Paulson makes a statement that assets will be bought at par before the bailout's even begun, that will be reported and might kill the deal.
4. In other words, we need to sweeten the pot to encourage banks to come "voluntarily". Pardon my ignorance, but why the hell should we be begging banks to borrow from us? I thought a bailout should be the absolute last option for a bank. I.e., it should be so unpalatable, so unprofitable for a bank and its executives that they exhaust every private means of survival before coming for their public "reaming". I wonder if foreclosed homeowners would rate their foreclosure process as "user friendly".
5. Of course the exec comp provisions are a joke. Who do you think is going to be hiring all those banking cmte staffers and newly retired congresspeople next year during the inevitable post-election turnover? Do you really think they're going to vote to limit their salaries? Remember that for lots of people on the Hill (including elected reps), govt work is merely time you spend accumulating credentials in preparation for your real life's work in the vastly richer private world.
Taxpayer losses: "golly, let's just pray to Jesus and hope he'll make sure that in a few years our country won't be bankrupt."
Oversight: "let's appoint a committee which will file toothless reports that no one will ever read".
I'm glad to see that while much time was spent in Exec comp. and tranching kabuki theater, the real points of protection of taxpayer losses and implementation of new regulation seem to be afterthoughts.
The notes on the call per our helpful anonymous reader (and former investment banker, it turns out):
"Draft bill is very positive for both markets and our companies"
Much explanation of Executive Comp
Residential and commercial mortgages. But very importantly, it can be any asset.
Excited about ability to guarantee assets in exchange for a guarantee fee.
Sought as much authority and as much flexibility as possible.
Eligibility: as broad participation by institutions as possible. The more participation, the more effective it will be. Want banks of all sizes or any financial institution that has a meaningful presence in the US to be interested and enthusiastic.
Purpose is to help private sector clean up their balance sheets.
Highest priority: make sure it works, will attract companies to participate. Warrants and exec comp. were very highly negotiated.
Direct purchases from failing institution e.g. Bear Stearns, AIG, F&F: will do the same thing, take maybe 79.9% equity.
Market mechanism: Congress wanted taxpayer benefit in upside. Sell warrants for assets over $100M , but the amount of warrants is still TBD. WE want healthy institutions to participate so it should not be punitive. some1 | 09.28.08 - 9:17 pm | #
Exec comp.
Most difficult part of negotiation.
Direct deal: fire the management, like AIG etc.
Market mechanism: if sell over $300M into fund, some exec comp limits come with it. For 2 years, the firm could not enter into NEW contracts including golden parachute, for involuntary departure. And lose some deductibility.
We feel really good that we have encouraged healthy institutions to participate, not just bailouts of sick institutions. some1 | 09.28.08 - 9:22 pm | #
Clawback of taxpayer losses: 1. it's a long way out, "a lot can happen in that time" 2. it's targeted at all financial institutions, not just participants! (that means it will never happen) 3. would need more congressional and presidential action to implement this. some1 | 09.28.08 - 9:24 pm | #
Oversight (Bob Hoyt)
1. Financial Stability Oversight Board 2. General Accountability Office and Comptroller General managing purchase auctions 3. Special Inspector General 4. Congressional Oversight Panel 5. Reporting provisions some1 | 09.28.08 - 9:27 pm | #
Tranching of $700B (I didn't know that was a limit)
Entire 700B is appropriated entirely by the act, no further appropriation necessary.
Tranching: first $250B Then Secretary determines that more is needed and tells Congress, another $100B Then Secretary determines that more is needed and Congress has 15 days to refuse, the remaining $350B
No time limits. Can request all the tranches at once, no need for delays. some1 | 09.28.08 - 9:29 pm | #
More about tranching:
To block the last $350B, Congress has to say no. Then the President can veto that. To override that veto, Congress needs 2/3 majority.
ALL of that must happen within 15 days, otherwise the money goes out.
Can't the President wait and veto it with one minute left in the 15 days?
RTC had to go back to Congress. Kudos for making this program much EASIER! some1 | 09.28.08 - 9:32 pm | #
Price: not a fire-sale price, not an outrageous price, a "fair" price. Firms might get a price higher than their current mark.
(Congress will be voting on this, with this aspect totally undetermined.) some1 | 09.28.08 - 9:35 pm | #
Not trying to maximize return to the taxpayer, but to provide liquidity to the system as a whole. some1 | 09.28.08 - 9:39 pm | #
They will prefer to help healthy banks become even healthier, as opposed to rescuing a failing bank, because the healthy bank is more likely to relend into the system.
They expect that the exec. comp. limits won't constrain the healthy banks, since they are so light. artichoke | 09.28.08 - 9:43 pm | #
xIt will take several weeks, before any assets can be bought, to hire asset managers and get systems up and running.
(They're going to let the weak banks fail, then help the rest.) artichoke | 09.28.08 - 9:45 pm | #
No provision to mandate re-lending.
Stuff that is still to be determined, will be issued as "guidelines" therefore exempt from discussion and comment period.
About 800 people on the call. some1 (oops;) | 09.28.08 - 9:47 pm | #
fl79tr
· 1 year ago
Did you guys know that "Make inu" the way people pronounce McCain's name in Japanese ( sounds like "McCain'new") actually translates as "Beaten Dog" its an idiom that means exactly the same as the way it was used in the video. Just thought you guys might like to know that little tidbit.
triple7s
· 1 year ago
The saliva is still gushing from the mouths of these greedy bastards, they WILL NOT give up. It's a bitch NOT getting a BLANK check. "THEY WILL BE BACK"
SCLiberal
· 1 year ago
At this point they may as well wind up some chattery teeth and set them in front of the microphone. Only the mentally deficient still give Bush any credence.
Hurrycane
· 1 year ago
ROTFLMAO!
JamesR
· 1 year ago
Ya think Noonan was struggling not to say "bullshit" out loud?
anarchy
· 1 year ago
the worst president ever - and a piss-poor excuse for a so-called leader in anybody's book.
NealB
· 1 year ago
If credit is so tight, why did one of my VISA cards just increase my credit limit by $4000? I'm not going to be using it, but it seems to me that the bank must have money to lend or they wouldn't be offering it to me.
I admit my ignorance. Could someone explain this "very serious credit crisis?"
Bush_Bites
· 1 year ago
I hate these Wingnut Scum who put the Idiot in the White House and are now running away from his mess almost as much as I hate the Idiot himself.
Scarborough, Noonan--They are the lowest forms of life.
All Comments
Bush was neither inspiring nor comforting this morning. Now would be a good time for a president to inject hope and confidence for the American people.
Don't repeat it.....even on a Liberal site.
Just like that Cyber Bully ad you hear on the radio. Don't repeat it.
Bush looks captive to that portion of last night's bourbon and coke that has not completely exited his system.
They all oughta be looking pretty bad.
Dow opened up some 200 points this morning...it's still running 189 +
No public events scheduled Tuesday Sept 30th
So, it seems all the talk about a wipeout yesterday was exaggerated.
This clip reinforces a burning question I have. What the hell does this woman Mika add to the Morning Joe show other than to act as a Scarborough cheerleader. Her behavior in this clip is typical. Scarborough is going to be himself with or without a parrot sitting on his shoulder. Her saying, "yes" all the time just really irks me.
Hell, renters are losing their homes because the houses are forclosing out from under them.
The worst attack on American soil since Pearl Harbor.
An expensive, unnecessary war in Iraq, with 4000+ dead.
An underfunded, ignored war in Afghanistan, with 1000+ dead.
The largest deficit in American history, which immediately followed a large surplus after the Clinton administration.
The largest one-day drop in the stock market in history, equivalent to 7% of value, leaving the stock market where it was 8 years ago.
Erosion of Constitutional principles of fairness and justice.
American power, influence and honor at its lowest point ever.
And on and on. This Presidency has failed, and will go down as the worst one in American history.
Tragic.
He should not only appear beaten, he should be beaten.
Update: Here are the notes promised. Calculated Risk had put up the conference call number. so some of this is the listener's notes, some are hoisted from CR. They are admittedly skeletal at points, but track and enhance the live blogging report at DealBreaker. You can download a torrent for the call here, which I intend to do post haste and will amend the post accordingly. I've included the long form notes below, but some items jump out:
1. The tranching is a mere formality, and the Treasury boys as much as said so. They could take the $700 billion max as soon as the bill has passed,
2. However, they do not plan any action immediately, will wait a couple of weeks. They want to focus their efforts on stronger companies but also made noise about protecting the financial system. This, by the way, is the Japanese convoy system all over.
3. There seemed to be a lot of tap dancing about what price they will pay for assets and no straight answer about their policy on warrants. They did say that if the amount sold was greater than $100 million, they would take warrants. FYI, the current draft allows them to pay up to the price at which the assets were initially booked (yikes) . I wonder if this is obfuscation, if they have an idea of what the plan to do but will not admit it in any public forum.
4. As the person who listened to the call stressed, DealBreaker wasn't clear on the bifurcated process. If you come to the Treasury and you are in trouble, you get reamed. Bear/AIG style treatment, execs probably fired. But if you participate on a voluntary basis, the intent is to make it very user friendly. That is consistent with Paulson's position during the negotiations.
5. The exec comp provisions sound like a joke, They DO NOT affect existing contracts, they affect only contracts entered into during the two years of the authority of this program and then affect only golden parachutes. More detail on that point, but I don't need more detail to get the drift of the gist.
Further below are the notes, admittedly somewhat cryptic at points, but hopefully helpful. But if you have time, listen to the download. Be warned I may revise and add to the post once I have done so.
Update 12:30 AM: Have queued up recording of conference call but not yet listened to it. But reader and sometime contributor Lune provides a useful take. Hoisted from comments:
1) If even the Treasury is saying tranching is a formality, then it really is nothing. Not sure why Dems fought so hard for a fig leaf.
2) Waiting a couple of weeks because no one has any idea when or where the next bomb will blow up. In other words, all their doomsday scenarios about Black Monday were B.S. They screamed the check had to be written by Monday, but now they're saying they actually have a few weeks before they need to cash it. Plus, this will allow them to "seek guidance" from GS, JPM, and other selfless public servants about where the money should be funneled.
3. The tap dancing is because they don't want it to get out that they'll be giving a sweetheart deal. The public won't be following each individual transaction to see exactly what price is being paid. So ridiculously overpriced asset sales can be hidden in the details, and by the time some reporter (or blogger :-) combs through and analyzes the transactions, the deed will have been done. But if Paulson makes a statement that assets will be bought at par before the bailout's even begun, that will be reported and might kill the deal.
4. In other words, we need to sweeten the pot to encourage banks to come "voluntarily". Pardon my ignorance, but why the hell should we be begging banks to borrow from us? I thought a bailout should be the absolute last option for a bank. I.e., it should be so unpalatable, so unprofitable for a bank and its executives that they exhaust every private means of survival before coming for their public "reaming". I wonder if foreclosed homeowners would rate their foreclosure process as "user friendly".
5. Of course the exec comp provisions are a joke. Who do you think is going to be hiring all those banking cmte staffers and newly retired congresspeople next year during the inevitable post-election turnover? Do you really think they're going to vote to limit their salaries? Remember that for lots of people on the Hill (including elected reps), govt work is merely time you spend accumulating credentials in preparation for your real life's work in the vastly richer private world.
Taxpayer losses: "golly, let's just pray to Jesus and hope he'll make sure that in a few years our country won't be bankrupt."
Oversight: "let's appoint a committee which will file toothless reports that no one will ever read".
I'm glad to see that while much time was spent in Exec comp. and tranching kabuki theater, the real points of protection of taxpayer losses and implementation of new regulation seem to be afterthoughts.
The notes on the call per our helpful anonymous reader (and former investment banker, it turns out):
"Draft bill is very positive for both markets and our companies"
Much explanation of Executive Comp
Residential and commercial mortgages. But very importantly, it can be any asset.
Excited about ability to guarantee assets in exchange for a guarantee fee.
Sought as much authority and as much flexibility as possible.
Eligibility: as broad participation by institutions as possible. The
more participation, the more effective it will be. Want banks of all
sizes or any financial institution that has a meaningful presence in
the US to be interested and enthusiastic.
Purpose is to help private sector clean up their balance sheets.
Highest priority: make sure it works, will attract companies to
participate. Warrants and exec comp. were very highly negotiated.
still listening ...
some1 | 09.28.08 - 9:14 pm | #
Warrants:
Direct purchases from failing institution e.g. Bear Stearns, AIG, F&F: will do the same thing, take maybe 79.9% equity.
Market mechanism: Congress wanted taxpayer benefit in upside. Sell
warrants for assets over $100M , but the amount of warrants is still
TBD. WE want healthy institutions to participate so it should not be
punitive.
some1 | 09.28.08 - 9:17 pm | #
Exec comp.
Most difficult part of negotiation.
Direct deal: fire the management, like AIG etc.
Market mechanism: if sell over $300M into fund, some exec comp limits
come with it. For 2 years, the firm could not enter into NEW contracts
including golden parachute, for involuntary departure. And lose some
deductibility.
We feel really good that we have encouraged healthy institutions to participate, not just bailouts of sick institutions.
some1 | 09.28.08 - 9:22 pm | #
Clawback of taxpayer losses:
1. it's a long way out, "a lot can happen in that time"
2. it's targeted at all financial institutions, not just participants! (that means it will never happen)
3. would need more congressional and presidential action to implement this.
some1 | 09.28.08 - 9:24 pm | #
Oversight (Bob Hoyt)
1. Financial Stability Oversight Board
2. General Accountability Office and Comptroller General managing purchase auctions
3. Special Inspector General
4. Congressional Oversight Panel
5. Reporting provisions
some1 | 09.28.08 - 9:27 pm | #
Tranching of $700B (I didn't know that was a limit)
Entire 700B is appropriated entirely by the act, no further appropriation necessary.
Tranching: first $250B
Then Secretary determines that more is needed and tells Congress, another $100B
Then Secretary determines that more is needed and Congress has 15 days to refuse, the remaining $350B
No time limits. Can request all the tranches at once, no need for delays.
some1 | 09.28.08 - 9:29 pm | #
More about tranching:
To block the last $350B, Congress has to say no. Then the President can
veto that. To override that veto, Congress needs 2/3 majority.
ALL of that must happen within 15 days, otherwise the money goes out.
Can't the President wait and veto it with one minute left in the 15 days?
RTC had to go back to Congress. Kudos for making this program much EASIER!
some1 | 09.28.08 - 9:32 pm | #
Price: not a fire-sale price, not an outrageous price, a "fair" price. Firms might get a price higher than their current mark.
(Congress will be voting on this, with this aspect totally undetermined.)
some1 | 09.28.08 - 9:35 pm | #
Not trying to maximize return to the taxpayer, but to provide liquidity to the system as a whole.
some1 | 09.28.08 - 9:39 pm | #
They will prefer to help healthy banks become even healthier, as
opposed to rescuing a failing bank, because the healthy bank is more
likely to relend into the system.
They expect that the exec. comp. limits won't constrain the healthy banks, since they are so light.
artichoke | 09.28.08 - 9:43 pm | #
xIt will take several weeks, before any assets can be bought, to hire asset managers and get systems up and running.
(They're going to let the weak banks fail, then help the rest.)
artichoke | 09.28.08 - 9:45 pm | #
No provision to mandate re-lending.
Stuff that is still to be determined, will be issued as "guidelines" therefore exempt from discussion and comment period.
About 800 people on the call.
some1 (oops;) | 09.28.08 - 9:47 pm | #
I admit my ignorance. Could someone explain this "very serious credit crisis?"
Scarborough, Noonan--They are the lowest forms of life.