October 21st – a date to be remembered as when the floor falls out

[carlsbadworker]

Tomorrow is Oct 21 and I am wondering what your dommsday forecasters have been doing. As Buffett once said: “Predicting rain doesn’t count; building the ark does.”
So do you all have stored enough cash, gold and ammo? Or only plan to get some orgie tonight!

[(former)FormerSanDiegan]

[quote=lonestar2000][quote=Enorah]According to this article it would seem that the auctions for Lehman Brothers have already happened

http://www.cnbc.com/id/27193149

says that the Wamu cash settlement auction is on Oct 23.[/quote]

Aye, the auction took place already, but the final settlement is not until next week, on the 20th or 21st. That is when those owing must actually pay up. However, the more I read, the more it seems that so many holders were both sellers and buyers of Lehman CDSs, that the majority of money actually trading hands is closer to the $6 billion range. This may yet be a non-issue, but that remains to be seen.[/quote]

So, what you are saying is that this is either

A.) “a non-issue”

or

B.) “remembered for centuries to come as the day the floor fell out of the financial system”

Thanks for clarifying.

[(former)FormerSanDiegan]

[quote=lonestar2000][quote=Enorah]According to this article it would seem that the auctions for Lehman Brothers have already happened

http://www.cnbc.com/id/27193149

says that the Wamu cash settlement auction is on Oct 23.[/quote]

Aye, the auction took place already, but the final settlement is not until next week, on the 20th or 21st. That is when those owing must actually pay up. However, the more I read, the more it seems that so many holders were both sellers and buyers of Lehman CDSs, that the majority of money actually trading hands is closer to the $6 billion range. This may yet be a non-issue, but that remains to be seen.[/quote]

So, what you are saying is that this is either

A.) “a non-issue”

or

B.) “remembered for centuries to come as the day the floor fell out of the financial system”

Thanks for clarifying.

[(former)FormerSanDiegan]

[quote=lonestar2000][quote=Enorah]According to this article it would seem that the auctions for Lehman Brothers have already happened

http://www.cnbc.com/id/27193149

says that the Wamu cash settlement auction is on Oct 23.[/quote]

Aye, the auction took place already, but the final settlement is not until next week, on the 20th or 21st. That is when those owing must actually pay up. However, the more I read, the more it seems that so many holders were both sellers and buyers of Lehman CDSs, that the majority of money actually trading hands is closer to the $6 billion range. This may yet be a non-issue, but that remains to be seen.[/quote]

So, what you are saying is that this is either

A.) “a non-issue”

or

B.) “remembered for centuries to come as the day the floor fell out of the financial system”

Thanks for clarifying.

[(former)FormerSanDiegan]

[quote=lonestar2000][quote=Enorah]According to this article it would seem that the auctions for Lehman Brothers have already happened

http://www.cnbc.com/id/27193149

says that the Wamu cash settlement auction is on Oct 23.[/quote]

Aye, the auction took place already, but the final settlement is not until next week, on the 20th or 21st. That is when those owing must actually pay up. However, the more I read, the more it seems that so many holders were both sellers and buyers of Lehman CDSs, that the majority of money actually trading hands is closer to the $6 billion range. This may yet be a non-issue, but that remains to be seen.[/quote]

So, what you are saying is that this is either

A.) “a non-issue”

or

B.) “remembered for centuries to come as the day the floor fell out of the financial system”

Thanks for clarifying.

[(former)FormerSanDiegan]

[quote=lonestar2000][quote=Enorah]According to this article it would seem that the auctions for Lehman Brothers have already happened

http://www.cnbc.com/id/27193149

says that the Wamu cash settlement auction is on Oct 23.[/quote]

Aye, the auction took place already, but the final settlement is not until next week, on the 20th or 21st. That is when those owing must actually pay up. However, the more I read, the more it seems that so many holders were both sellers and buyers of Lehman CDSs, that the majority of money actually trading hands is closer to the $6 billion range. This may yet be a non-issue, but that remains to be seen.[/quote]

So, what you are saying is that this is either

A.) “a non-issue”

or

B.) “remembered for centuries to come as the day the floor fell out of the financial system”

Thanks for clarifying.

[kewp]

That is the problem, it could be a minor nuisance, or it could be a disaster, compounding the problem to such a degree that the entire system will simply collapse under the strain, resulting in catipulation. I wonder what Bernenke and Paulson have cooking to avert this disaster.

There is pretty easy solution to this, sacrifice the hedge funds and bail out the pension/mutual funds.

Just give priority to CDS’ held by government and public entities first. They get first dibs at whatever equity is left by the bond insurers and the Fed prints out the rest to make good on whatever obligations are left.

Let the hedgies/private equity all rot; the price they paid for decades of grift in the absence of regulation.

[kewp]

That is the problem, it could be a minor nuisance, or it could be a disaster, compounding the problem to such a degree that the entire system will simply collapse under the strain, resulting in catipulation. I wonder what Bernenke and Paulson have cooking to avert this disaster.

There is pretty easy solution to this, sacrifice the hedge funds and bail out the pension/mutual funds.

Just give priority to CDS’ held by government and public entities first. They get first dibs at whatever equity is left by the bond insurers and the Fed prints out the rest to make good on whatever obligations are left.

Let the hedgies/private equity all rot; the price they paid for decades of grift in the absence of regulation.

[kewp]

That is the problem, it could be a minor nuisance, or it could be a disaster, compounding the problem to such a degree that the entire system will simply collapse under the strain, resulting in catipulation. I wonder what Bernenke and Paulson have cooking to avert this disaster.

There is pretty easy solution to this, sacrifice the hedge funds and bail out the pension/mutual funds.

Just give priority to CDS’ held by government and public entities first. They get first dibs at whatever equity is left by the bond insurers and the Fed prints out the rest to make good on whatever obligations are left.

Let the hedgies/private equity all rot; the price they paid for decades of grift in the absence of regulation.

[kewp]

That is the problem, it could be a minor nuisance, or it could be a disaster, compounding the problem to such a degree that the entire system will simply collapse under the strain, resulting in catipulation. I wonder what Bernenke and Paulson have cooking to avert this disaster.

There is pretty easy solution to this, sacrifice the hedge funds and bail out the pension/mutual funds.

Just give priority to CDS’ held by government and public entities first. They get first dibs at whatever equity is left by the bond insurers and the Fed prints out the rest to make good on whatever obligations are left.

Let the hedgies/private equity all rot; the price they paid for decades of grift in the absence of regulation.

[kewp]

That is the problem, it could be a minor nuisance, or it could be a disaster, compounding the problem to such a degree that the entire system will simply collapse under the strain, resulting in catipulation. I wonder what Bernenke and Paulson have cooking to avert this disaster.

There is pretty easy solution to this, sacrifice the hedge funds and bail out the pension/mutual funds.

Just give priority to CDS’ held by government and public entities first. They get first dibs at whatever equity is left by the bond insurers and the Fed prints out the rest to make good on whatever obligations are left.

Let the hedgies/private equity all rot; the price they paid for decades of grift in the absence of regulation.

[Author]

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