Market Movers Monday: Bernanke on 60 Minutes and Treasury moves up Toxic Assets Plan

Bernanke on 60 Minutes Sunday night, this period before a FED meeting is traditionally a blackout for fear the markets will move the FED decision process or vice versa.

No g’news is good g’news on this interview. Apparently Americans are supposed to feel reassured by his doctorial demeanor and go shopping. I am warming up to Ben rapidly with the Apple Dumpling Gang we have running things now for comparison…

The other big news is that Treasury is moving up the rollout of TARP THREE. The latest AIG fiasco is so so bad for Team Obama, the timing, because they chose to push through the bloated stimulus and budget packages before they did the most important thing IMO,  funding the toxic asset program

Taxpayers are rightfully and righteously pixxed. This will be all over the news and then Timmeh will come back from G20 EMPTYHANDED Continental Europe is not interested in any stimulus to boost demand and they told him that…POTUS will go in April and hear the same thing about more NATO troops no doubt….

So WOTS is they were hoping things would magically get better without having to inject more capital anytime soon, but the AIG news means they cant come to us later for money, they need to move before the backlash builds  we are awash in tea :0) So the big rush is on to roll out TARP Three, Revenge of the Taxpayer, sounds nice huh?

CNBC (you know the new EVIL ONES) Steve Liesman:

The Obama administration’s plan to purchase toxic assets from the banks in a public/private partnership could be made public as soon as this week, according to senior administration officials. Officials said President Obama has largely signed off on the plan in discussions with Treasury Secretary Tim Geithner and the president’s economic team. A meeting was scheduled today at the White House to discuss the plan. But some details of the so-called Public Private Investment Fund, or PPIF, had yet to be worked out and officials cautioned that could delay the announcement to the following week

Still, officials say the broad outlines of the plan have been decided. Several competing funds will be established with capital from both public and private sources.

MiM here anyone wanna bet PIMCO is in there LOL Bill Gross likely wrote the damn plan HA!!

The hope is to have these funds bid on the assets weighing down the balance sheets of the nation’s banks and create a market price through the competition.

The administration plans to begin the program, to be overseen by the Treasury, the Federal Deposit Insurance Corporation and the Federal Reserve, with purchases of up to $500 billion in assets. It could be expanded to $1 trillion.

The bidders will be offered low-cost government financing to buy the assets and some form of insurance to protect them against downside risk..

If this sounds familiar to you it is because it is the plan Paulson sold Congress as TARP One, yep, go back Jack do it again…..

March 15, 2009. Tags: , , , , , , , , , , , , , , , , , , , , , , , . Cabinet, Economy, FDIC, Film, Finance, Obama Administration, Politics, Popular Culture, TARP, Taxes, Uncategorized, Wall St.

One Comment

  1. » Market Movers Monday: Bernanke on 60 Minutes and Treasury moves up Toxic Assets Plan replied:

    […] Rocky Humbert wrote an interesting post today onHere’s a quick excerptBernanke on 60 Minutes Sunday night, this period before a FED meeting is traditionally a blackout fo […]


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