RSS
|
More on this topic
(What's this?)
Fears of Mortgage Rate Re-Sets May Fuel LIBOR Manipulation
(Contrarian Profits, 10/24/08)
The Debts of the Spenders: The LIBOR Cartel
(The Debts of a Nation, 10/8/08)
The latest on LIBOR, rate cuts, and other eff…
(Interest Rate Roundup - Money an..., 10/7/08)
The Lies We Tell Ourselves
(, 10/22/08)
Tags: Keith Fitz-Gerald
With the US Govt drowning in ever deeper debt, why do you think T-bills are "ultra-safe"? Large, well-run banks have actual capital — even with the difficulty in valuing some of those assets these days.
What capital does the US Govt have other than the power to tax? Or to borrow and spend until it can't possibly pay for the debt its incurred from its expected stream of income?
Why would you think such an unreliable organization is so reliable?
Guy
[...] Money Morning: A Look at LIBOR Shows Bigger Credit Problems on the Horizon [...]
I think the TED spread will settle into the 1.00 percentage point or lower zone before Christmas. If not, then it'll be a very depressing holiday for a lot of people around the world who depend on credit to finance their holiday shopping.