Re:Almost 90 percent of NYC bars and restaurants couldn’t pa...
by alecco on Tuesday September 22, 2020 @02:42AM
(#24551611)
Top of the chain is "dumb money". Like pension funds and municipal or foreign funds. Those got destroyed in 2008.
The Fed can only absorb so much (currently at a record 30% of mortgage bonds). Banks and the financial markets are not stupid and quickly resell everything. In 2008 they were caught with just ONE batch of mortgage backed securities and it bankrupted a couple. It's not going to happen again.
It's dismaying how GP proposes such a terrible idea. And what worries me the most is the majority of voters have the same feel-good ideas. We are going to get screwed from both sides.
The Fed can only absorb so much (currently at a record 30% of mortgage bonds). Banks and the financial markets are not stupid and quickly resell everything. In 2008 they were caught with just ONE batch of mortgage backed securities and it bankrupted a couple. It's not going to happen again.
It's dismaying how GP proposes such a terrible idea. And what worries me the most is the majority of voters have the same feel-good ideas. We are going to get screwed from both sides.