Tag: Moodys

Senate Subcommittee: The Role of Credit Rating Agencies

I saw Krugman on the TVeee over the Weekend. Something he said, made me think the Goldman Email Gate, was a big Mis-Direction.

So I decided to follow up on that hunch; I took to the Intertubes, and began to follow his trail of breadcrumbs …

Berating the Raters

By Paul Krugman, NYTimes — April 25, 2010

No, the e-mail messages you should be focusing on are the ones from employees at the credit rating agencies, which bestowed AAA ratings on hundreds of billions of dollars’ worth of dubious assets, nearly all of which have since turned out to be toxic waste. And no, that’s not hyperbole: of AAA-rated subprime-mortgage-backed securities issued in 2006, 93 percent – 93 percent! – have now been downgraded to junk status.

What those e-mails reveal is a deeply corrupt system. And it’s a system that financial reform, as currently proposed, wouldn’t fix.

Top Ten Reasons: NOT to Trust Wall Street

also posted on dkos

Wall Street is sick. And its illness is Unchecked Greed. … The bug is call OPM.

Their fever has risen so dangerously high, that the Wizards of Wall Street, the Captains of Industry, for the most part see your assets as their “playing chips”.

Your Money, is their Bread and Butter.

Exploiting and Levering OPM (Other People’s Money) is the key to their  Extreme Wealth.

This contagion on Wall Street has reached such a point, that one of those “Captains of Industry” has been speaking out against it.  He has been working to “right the ship” of speculative, reckless investing, using our OPM, as the collateral.

Jack C. Bogle, founder and CEO of the Vanguard Group, is one of those “old school” investors — you know, that we should beinvesting in a better future“, NOT just a “better bank account“.

Jack has listed the symptoms of this wide spread illness — NOW if only we could find some “Doctors” wise enough to quarantine the Damage …

The Damage unregulated greed has done … before they try to “go for broke” AGAIN …