Monday, March 23, 2009

Toxic Assets is the Major Theme this week for Obama...

The Wall Street Journal on TARP
The U.S. will use up to $100 billion in funds from the Troubled Asset Relief Program, as well as capital from private investors, in order to generate $500 billion in purchasing power to buy toxic loans and assets. The program could potentially expand to $1 trillion over time, the Treasury Department said Monday.
In an interview with The Wall Street Journal on Sunday, Treasury Secretary Timothy Geithner said the only way to remove troubled assets clogging banks' balance sheets -- which lie at the heart of the financial crisis -- is to work with the private sector, even at a time when Wall Street moneymakers are being vilified by the public and politicians.
http://online.wsj.com/article/SB123780994825213465.html#mod=djemalertNEWS

FD: How does a bank dump toxic assets?
Very quietly. In the middle of the night, under a bridge.

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