Ran: 10/08/2008
Moved Here 07/08/2010
Links no longer work.
Washington, (People Port) This story is huge, global. England (UK) has taken an equity interest (bought their stock) in their banks. Banks there are considered, slightly nationalized. Countries across Europe and elsewhere around the world have done some of that. Here, we put that and so much more into our economic plan. There is so much news, if you are not glued to a financial news network, you are going to miss it. We are also watching our presidential race. Then there is regional state and local news. For almost two years our presidential race has dominated the evening news. They are reluctant to part with three minutes of air time.
•Shop GemStuddedNails.com
•Treasury's New Point Man
•Federal Reserve: We'll Take That Paper
•Hope Now Foreclosure Solutions For Home Owners
•Mortgage Foreclosure Resources
•Commercial Paper (CPFF) Terms And Conditions
•FED: Commercial Paper Rates and Outstanding Amounts
That meant the stock market had to crash everyday for a week to get a little air time. Forget energy, the presidential candidates each want their own sound bites on that issue. It did come up in last nights debate. maybe after the election... Washington decided not to wait. Some of the underpinnings to sound energy planning are in that economic rescue plan. The economic rescue plan has already worked, because, There are two banks fighting over an almost failed bank. True, they may not have money to loan (at a rate a small company can afford), they have plenty to fight over another bank. It is working.
Odd, even the presidential candidates voted to pass this rescue. Too early to announce a success, the rescue package is too new. Watch the fight over that bank, they are in a cooling off period. We will see what is worked out between the banks, government, and the courts. Two greedy Wall Streeters fighting over another. Nice to see. Our economy is beginning to heal. Home sales are up (40% are bank owned). Wall Street is crying everyday over a chance at buying some of that toxic debt. Each exchange wants the trades listed on theirs. We will work our way out of this. Greed works, so does fear. The market keeps melting down from fear. See we are about to have a bad quarter, because sales are down.
Sales are down because our credit markets froze in August. Banks lending to businesses has been cut in half One would expect banks not to want to loan to other banks, they work with each other, side by side, they know exactly why they are not loaning (greedy bastards). Not loaning to companies is a different story. Most commercial paper (short term loans to companies) has become so scarce, The Federal Reserve will shortly be offering those loans. Not to worry, we have those sharks, I mean Wall Streeters, working for US. They run our Treasury Department, they are all over the place. They have the tools (bully clubs and blow torches), to get our economy moving. The part I like the best, they have to focus on helping homeowners and small businesses. I am cheering for Wall Street. Hey, a new reality TV show, Wall Street as a hero. Save those homes and businesses.
Our economy will start moving again when credit flows again, people are not facing cuts in hours or job losses. Now, companies are raising money internally. That means they cut hours, delay making payments, and spending, to fund short term cash needs. OK when one company here or there is working out a problem not when all companies are doing the same thing. Those workers are the ones that buy things, some examples, homes, cars, TVs, gym memberships, internet access, and even pay their debts.
Yesterday, President Bush visited Guernsey Office Products in Chantilly, Virginia, and discussed the Emergency Economic Stabilization legislation he signed last week in response to the financial crisis. As our markets begin to stabilize over time, it will help calm markets overseas.
The Administration Is Taking A Series Of Steps To Help American Businesses And Families
These steps will help bring stability to our volatile markets, and help protect the value of Americans' retirement accounts and 401ks – but it will take time for them to have their full effect. Thawing the freeze in the financial system will not happen overnight. It will be a process that unfolds over several stages:
•The Treasury Department is now moving aggressively to implement the new authorities in the most effective way. This legislation ensures that these authorities will be implemented in a responsible way that protects taxpayers. Meanwhile, the Federal Reserve and the FDIC will continue using their powers to help stabilize the market.
•This rescue plan will be a gradual process that will take time to have its full effect. We expect it will begin to kick into gear a few weeks from now. As banks rebuild their capital, they will be able to increase lending to each other and begin approving new loans for families and businesses – but this will not happen all at once.
•Eventually, we expect that much – if not all – of the tax dollars will be paid back. As the banking sector and the market for troubled assets recover, the government will begin to recoup some of the taxpayer funds invested in this recovery effort.
The financial rescue plan will provide the government a range of tools to help banks rebuild capital in order to get more credit flowing to consumers and businesses. The bill also protects responsible, hardworking Americans by:
•Preventing failed executives from receiving massive bonuses or windfalls from taxpayer dollars;
•Establishing a board to oversee the plan's implementation; and
•Temporarily expanding Federal insurance for bank and credit union deposits from $100,000 to $250,000 – this is a safeguard for consumers and small businesses.
President Bush has remained in close contact with European leaders to ensure that our actions are closely coordinated. Finance Ministers and Central Bank Governors from the G-7 and other leading nations will be meeting this weekend.
In Addition To The Financial Crisis, We Must Address All Challenges Of Our Economy
President Bush has proposed targeted and practical steps for the Federal government to help our economy through this difficult period. Although the passage of the financial rescue legislation is helpful, the economy continues to face several additional challenges.
•To address the high cost of energy, the Administration has dramatically expanded funding for research into alternatives to oil and natural gas. The financial rescue package the President signed last week extends tax incentives for alternative energy sources such as wind, solar, geothermal, and biomass, including a new tax credit for qualifying plug-in electric vehicles. This summer, Congress responded to the will of the American people by lifting the legislative ban on offshore energy exploration. The Interior Department is now exploring all options to bring these energy resources online as quickly and efficiently as possible.
•President Bush has launched two initiatives to help responsible Americans keep their homes. Hope Now brings together homeowners, lenders, mortgage service providers, and others to find ways to prevent foreclosures. The other initiative is aimed at making it easier for homeowners to refinance into affordable mortgages insured by the Federal Housing Administration. So far, these programs have helped more than two million American families stay in their homes
• (1-888-995-HOPE (4673)).
•President Bush calls on the next Congress to provide more certainty in the tax code and encourage more job creation by making all of our tax cuts permanent. Last week, Congress took a step in the right direction by extending several key tax credits. Congress also acted to protect 26 million taxpayers from an average of $2,200 in higher taxes as a result of the Alternative Minimum Tax.
•Congress can level the playing field for American businesses and workers and provide a needed boost to our struggling economy by approving our pending free trade agreements with Colombia, Panama and South Korea. Over the past year, exports have increased a remarkable 17 percent.
Copyrighted, 2008, J John Swanko, All rights reserved. This work is licensed under a Creative Commons Attribution 3.0 United States License Permission is granted for web based usages; the internal links must link back to store. For more information Click
No comments:
Post a Comment