Lehman Brothers

turbo6bar · 09-14-2008, 02:32 PM

Wow, what a crazy year for the financial sector. Some say a collapse of LEH will ripple throughout markets tomorrow. The Treasury department's shrugged shoulders and outstretched hands indicate, "no mas." Is it the end of taxpayer funded bailouts? Can they afford it any longer?

How many other greats will fall before we hit bottom?

The financing bubble has burst.

Jurgen

jorian · 09-14-2008, 03:51 PM

I sincerely hope it is the end of govt bailouts. Let the market sort it out. Sounds like they will have their hands full with the newly nationalized May & Mac anyway.

Funny, I Googled Lehman and the page underneath the one I clicked was "Careers at Lehman." Kinds like getting a good job on the Titanic

artplumber · 09-14-2008, 08:47 PM

The electronic trading off coast is suggesting 300 down at the opening bell for the DJIA.

AIG is in trouble. B of A is buying Merrill. There ain't gonna be investment banks in 1 month. Then the real trouble begins.

HardDrive · 09-14-2008, 08:59 PM

Quote:

Originally Posted by artplumber

Then the real trouble begins.

It ain't trouble, its the truth.

The faster we hit bottom, the better.

HardDrive · 09-14-2008, 09:15 PM

Yep, looks like they just announced a Chapter 11 filing.

No big deal. Its not like they have been a pilar off the financial market for 158 years or anything....oh wait......

artplumber · 09-14-2008, 09:20 PM

Quote:

Originally Posted by HardDrive

It ain't trouble, its the truth.

The faster we hit bottom, the better.

Not sure I'd classify retail banks going bellyup as the "truth". That's momma & poppa's savings for a rainy day.....

dd74 · 09-14-2008, 09:31 PM

Quote:

Originally Posted by HardDrive

Yep, looks like they just announced a Chapter 11 filing.

No big deal. Its not like they have been a pilar off the financial market for 158 years or anything....oh wait......

Yes. Confirmed as breaking news here in L.A. Lehman's gone. No buyers for the company. Fasten on your Simpson harness. It's going to be fierce ride tomorrow.

the · 09-14-2008, 09:32 PM

Looking at past posts, I called the Dow hitting into the 9000s, maybe the 8000s.

I think the 8000s is now a certainty. IMO there has been a lot going on that hasn't been made public. The govt has done everything it can do to prop up the economy and put bandaids over the serious problems in the financials (and other areas).

But they're out of bullets now. The unraveling should begin in earnest now, and I would not be surprised at all if the major indices take a 50% hit from their peaks.

dd74 · 09-14-2008, 09:34 PM

You still interested in buying a Porsche?

HardDrive · 09-14-2008, 09:36 PM

Quote:

Originally Posted by dd74

You still interested in buying a Porsche?

LOL. I was looking at boats earlier. You think its a buyers market now? Oh boy are there going to be some deals out there...

HardDrive · 09-14-2008, 09:41 PM

Quote:

Originally Posted by artplumber

Not sure I'd classify retail banks going bellyup as the "truth". That's momma & poppa's savings for a rainy day.....

I have recently retired parents. There is no good that is going to come of this in the short term.

But patching things over for another 12 months is just going to make it worse.

dd74 · 09-14-2008, 09:46 PM

A lot of people say anything below 11,000 on the Dow is a certain recession, maybe depression.

Jeez....

the · 09-14-2008, 10:30 PM

Is there anyone who still thinks the Dow isn't going below 11,000?? That could very well happen next week, maybe within the next 12 hours.

I'm still interested in an early 911, but that's emotion, not logic, talking! I have actually been pretty surprised at how soft the early 911 market has gotten. I would not pay $60K for a driver 911S, but I might pay in the 30s, which I've now seen some move at.

tabs · 09-15-2008, 01:18 AM

Dear The: This doesn't put the fear of God into ya? Then your more intellectually challenged than anybody I have ever pushed down the stairs.

The ripple effect of this is quiet possibly a GLOBAL COLLAPSE OF THE FINANCIAL MARKET. With that you can KISS EVERYTHING YOU HAVE KNOWN GOODBYE! No banks, no investment house means NO LOANS TO BE MADE, assets will not be able to be sold. That means they will be worthless. Money will be worthless.

tabs · 09-15-2008, 01:34 AM

Let us put it to ya this way. If the Fed and the Treasury thought Lehman would take down the system they wouyld have bailed out Lehman. They stepped up to the Bear, they have bailed the Freddie and Fannie. They have drawn the line in the sand and said OK we can take the hit. They are not inclined to let the system crumble.

Don't cha get it we are in a period of time that could make the Great Depression look like a hiccup. The equivalant in a natural diaster would be an asteroid hitting the earth. KISS EVERYTHING YOU HAVE EVER KNOWN GOODBYE. Every financial institution on the planet is "INTERCONNECTED" nothing will be left standing which is unlike any other time in history. Everybody is holding US DOLLARS. Everybody is holding US paper. NOW if suddenly tommorow NOPBODY WANTS US PAPER...then where is the deficit and debt going to be funded?????

NOT ONE OF YOU PEOPLE HAS THE SLIGHTEST CONCEPTION OF WHAT THE GREAT DEPRESSION WAS LIKE.NONE Anybody who would even think that it would be remotely desireable is out to lunch. They are not even on this planet.

tabs · 09-15-2008, 01:38 AM

HOW fking stupid.....

tabs · 09-15-2008, 02:21 AM

Quote:

Originally Posted by HardDrive

The faster we hit bottom, the better.

Time is an ally and not an enemy.... with the engine of productivity time can heal the wounds. It is the quick unraveling that causes PANIC. Sorry you just made the top of my most FOOLISH list.

THE makes it to second place.

p911dad · p911dad's Garage

If the system were to truly collapse, and we have seen a glimpse of it with the liquidity/credit crisis, things would be bad beyond imagining. When banks no longer have faith in each other or the system, then it's every bank for itself. The system grows ever tighter and no one can get any loan. Your collateral requirement will be 75%. This is partly what happened in the depression of the 30's.
In this area of NY State, many farms went bankrupt as the spiral down developed. Upstate was once almost 90% farmland. The result of that is why there are vast tracts of state owned land throughout NY-the state ended up with the deeds of all the broke landowners after all the succession of banks passing assets on to the last bank standing finally escheated to state ownership(there's a term I haven't used lately) when all the banks were gone. Some counties have never recovered. There was no hope of selling the properties at foreclosure because no one had any cash left. So your state will end up with all the property in that scenario. This is gloom and doom at it's finest.
The social fallout is intense. That is where the Oakies came from, remember? Vast groups will be displaced. My family was a victim as well, after great-grandpa lost the mill in PA they set off on a great adventure looking for work. Ended up in SC and then to NY. Ma, Pa and 6 kids! They eventually had a happy ending, but it took a world war to put everyone back to work!

tabs · 09-15-2008, 02:26 AM

AMEN G.....you got the idea...this scares the B GEEZUS outa me....

tabs · 09-15-2008, 02:31 AM

During the Depression one of my relatives was hired to drive a car from Detroit to San Francisco. When he got there all he had in his pocket was TEN CENTS. He said that he didn't want to spend that money because that was all the money he had or could make. AS THERE WERE NO JOBS TO BE HAD.