Like, it's not really news, but...
According to Bose George, analyst at Keefe, Bruyette & Woods, the two government sponsored entities that buy mortgages from banks have zero value to common shareholders.
Zero. Zippo. Nada. These firms used to be the backbone of retirement accounts, 'cuz they were so safe and stable, remember?
Brain-dead and on life support. Bailed out to the tune of $100 billion, and probably going to need the other $300 billion before all is said and done.
Remember when Henry Paulson asked for authority to bail these clowns out, assuring everyone he probably wouldn't need to use it? Just in case, you know.
And, they'll be with us for decades, we can't get rid of them. Or, at least, no one yet has developed the courage to drive the stake in their hearts.
At least Mr. George did:
It should come as no surprise that we cannot advise holding these shares, and at this point we think these shares are little more than a tool for speculators.
Actually, the better movie title would be 'Night of the Living Dead'.
This would be funny, except my unborn grandchildren will be paying for it, cursing our memory as they do it. For their sake, if not for ours, we must find a way to peacefully and effectively end this nonsense.
Have we thought about what happens to a culture if we teach that the most outrageously irresponsible among us earn access to the public purse?
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