“Half the assets in the entire U.S. banking system—$5.9 trillion of $11.9 trillion, or 49%—are based on commercial or residential mortgages. A simple attempt to bail out those vastly overwatered bank assets with Federal credit and money, while motivated by pressure to help millions of households avoid foreclosure, would be a disaster…
These markets sold off $2.4 trillion in mortgage-backed bonds in 2006, making large profits for hedge funds and banks.”
I posted this just to reiterate the $$ amount involved – whichI think in light of current events, speaks for itself. We are just at the beginning of this fallout.
