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gunnerrat Views: 3,033
Published: 13 years ago
 
This is a reply to # 1,258,175

Forget about Lehman


The bailout of FM & FM is HUGE. It increases the government debt by over 50%. An inevitable reduction in the gov't credit rating will send nervous investors elsewhere. And if they sell the treasuries they have, the whole ball of wax could go up in smoke. The gov't might soon not be able to pay its debt obligations and go insolvent. It's only a matter of time now...

Some analysts are now predicting as many as 1,000 banks could go bankrupt and the other 2 investment banks disappearing as well.
 
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