The Mortgage Market Meltdown

#0

John Mauldin  skriver

Again, this is not an inflationary force. It is just the opposite. As I have argued for over a year, the subprime crisis will not be contained. It is going to spread. Notice that AIG announced today they are writing down $11.1 billion on investments related to the subprime markets. This is just the first in what will be a long line of insurance companies that are going to announce large losses. The paper I mentioned above says that 23% of reported exposure to subprime problems is in insurance companies, which is the same as the exposure of US commercial and investment banks.

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" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#0 #1

Och angående Buffett's letter to shareholders (redan länkat till brevet)

"Our insurance business -- the cornerstone of Berkshire -- had an excellent year," Buffett wrote. The company has great managers, but was also "very lucky in 2007, the second year in a row free of major insured catastrophes." "That party is over," he warned. "It's a certainty that insurance-industry profit margins, including ours, will fall significantly in 2008." 

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" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Inlägget är redigerat av författaren.

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Inlägget är redigerat av författaren.

Inlägget är redigerat av författaren.

försök här

 http://www.technologyinvestor.com/Sub_Prime_Explanation.pps

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Inlägget är redigerat av författaren.

A good analogy for the situation we find ourselves in now.

implosion of Kuwait?s Souk al-Manakh stock bubble  

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" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Apropå den svaga dollarn... 

#6 Förstår inte riktigt poängen i skämtet? Möjligen är jag trögtänkt =)

USD fungerar väl utmärkt, ännu så länge, som betalningsmedel i USA? Inflationen är något förhöjd och stigande, men inte så hög att skottkärra bebövs =P

Själv ska jag passa på att resa t USA i sommar, billigt! 

|StRY| "Caveat emptor. Buyer beware."

Ja, kanske kan det syfta på att dollarn har fallit och faller en hel del i värde...man skojar väl om att man inte kommer vilja ta emot den som betalningsmedel så småningom. 

Cnbc är väl ingen favoritkanal men ibland har dom duktiga gäster som David Rosche idag. Banks to cut back their lending/ vilket inte har börjat ännu eftersom man fått kapitalinjections från araber och singaporianer. När the foreclusers börjar då har vi den riktiga creditkrisen.

Mvh babe1

Inlägget är redigerat av författaren.

fler dollarmiljonärer;) 

"Credit is the air that financial markets breathe, and when the air is poisoned, there´s no place to hide." - Charles R. Morris

Mr. Morris writes: "The sad truth...is that [the] subprime [mortgage market] is just the ´first big boulder´ in an avalanche of asset writedowns that will rattle on through much of 2008. An overhaul of subprime-like assets, at least as large, is sitting in corporate debt, commercial mortgages, credit cards, and other portfolios. Even municipal bonds may be at risk. Loss estimates of $400 billion to $500 billion barely get your halfway there...When large wobbly objects tumble, they go very fast...I lay out...the likely course of writedowns and defaults on the whole asset gamut--residential mortgages, commercial mortgages, high-yield bonds, leverage loans, credit cards, and the complete bond structure that sits atop them.

IT COMES OUT TO ABOUT $1 TRILLION."

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" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Enkel trevlig läsning

The credit crisis by Steve Waldman

A credit crisis arises when many more promises are made than can possibly be kept, and disputes emerge about how and to whom promises will be broken. It's less a matter of SIVs than ABCs. 

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" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Inlägget är redigerat av författaren.