Wednesday, July 22, 2009

Looney Tunes Involving Lehman According To New Book

The following quote says it all.

"None of the senior government policy makers anticipated the credit market collapse that followed Lehman’s bankruptcy filing in the early hours of Sept. 15"

Completely clueless actions from the likes of Paulson, Bernanke,and Mr. Imbecile himself SEC Chairman Christopher Cox who had the opinion that Wall Street had learned its lesson from Bear Stearns.

"An unnamed senior Fed official told Wessel he had supported letting Lehman go because “it was time to find out what would happen” if the government didn't backstop a troubled financial institution".

So I am thinking Lehman was a science project?

After the market did its best Chernobyl Act, AIG was bailed out two days later.

The most interesting tidbit, was Bernanke, Paulson, and Geithner strong armed the rest of Wall Street into bailing out Lehman, they were successful to a point, until the U.K regulators nixed the deal.

So I am thinking after their strong arm tactics didn't work with Lehman, did Bernanke and Paulson sharpen their swords in regards to BAC/Merrill?

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