“If insider buying is any indication, home builders and financial-services providers expect dramatic reversals of fortune in the coming months.”
. . .
“Bush 43 faces the same dilemma, only this time the bad loans are right here at home. His choices: He can thumb his nose at lenders who made stupid loans, castigate brainless homeowners who took out mortgages they could not repay, jail fraudster mortgage brokers who exploited a loosey-goosey system to generate exorbitant fees — and stand smugly by as families in Republican strongholds across the West and South lose their homes. Or he could follow his dad’s Brady bonds solution and basically forgive and forget by launching a mortgage bailout of unprecedented scope.”
. . .
“As a result . . . the nationwide housing collapse would disappear as an election theme for Democrats.”
Watch out . . . PIGS love to dare “put your money where your mouth is.” When Wall Street gets wind of upcoming events and starts to put real money into it they are doing exactly this. Apparently at least some people (smart or fools . . . time will tell) are putting money on a semi-bailout leading to possible (emphasis on possible) “dramatic reversals” in the housing market. This bears watching.
