Are you ready for another week of lunacy with those wacky Wall Street brokers? I am! Normally I couldn’t give a toss about the financial markets, but now it’s become a real cliffhanger. What’s going to happen next? Where’s the bottom? Will the incentives work? Is there going to be a depression? Has America gone socialist? Will Britain have to buy Iceland? Who knows?
Well, I freely admit that I know next to nothing about the stock market. It’s not my thing. But what really freaks me out about this whole story is that nobody else seems to know what the hell’s going on either. Every banker, broker and TV newsreader in the world must have sore shoulders from shrugging ‘I don’t know’ to each other. Continue reading “Shrugging off the markets”
So the US property market is in big doo-doo. I’m no economist, but after watching a few news reports, I’m getting the general message that the American economy has tanked, home owners can’t make their payments, mortgages are being forfeited and the companies that gaily gave credit to every shmo who came along are now going belly up.
That much is old news. But now two companies who collectively own or guarantee about half of all the home loans in America (totaling $5.4 TRILLION) are effectively bankrupt. That’s a very big problem for the American economy and the government has had to step in and use tax payers’ money to keep the two companies afloat. The cost is estimated in the hundreds of billions. And you think we’ve got problems with Eskom? Continue reading “What’s in a name?”