Chris-
How concerned are you at this point? Much like you, my back side is awfully red at this point.
This is a slide that’s not based on an event, not based on a loss, not based on an economic downturn, it’s merely based on one word:
subprime
I swear, Europeans wet their undies every time that word is mentioned, even if they can’t explain the size of the subprime market or the losses in the subprime market, or why subprime lending issues are so radically differnt from corporate lending issues.
Amazing. GDP surprises to the upside, inflation surprises to the downside, the Treasury Secretary tells every one to calm down, and no effect. The one bright side is that the Mexicans actually decided to stop playing the role of lap dog to the NYSE and focused on their own market for the day (the Brazilians, to my regret, found the leash and collar too comforting to resist for the entire day.)