Suze Orman on CNN: We're fucked!!!

[vaberella]

Not literally but she basically said that.

She said without bail out more foreclosures.

She said and this is reality...we lost 1 Trillion dollars on the market today because we didn't sign off on the bail out.

I don't like the bail out like everyone else. But damn it to hell, I do have an inkling on the market and I know if there is no Government intervention we are truly fucked. I can't stresss this enough. More lost money, more jobs lost, more people losing their homes. People are like, some people will suffer for the greater cause, fuck it to hell....I'm not willing to deal with that enough.


I'm so upset over this. Not only the fact of foreclosures but even credit limits will be eliminated. You use a credit card? It's going to be gone if something is not done.

Fuck the Repubs....I am done with the Government at this point. I am appalled by the actions of the House. This is a serious issue that they've fucked up...and they've slapped the every day man in the face.

[whistle]

1. Well, with a bailout there most certainly would be more foreclosures.

...without protection

[enough]

2. "WE lost 1 trillion dollars on the market today..."

Who is WE, and WHERE DID THE MONEY GO?

It may not sound like it, but I mean these questions seriously.

[graywarrior]

4. They lost 1 trillion.

We got bupkis.

[kirby]

5. Misleading number...

The price on paper dropped by 1 Trillion today. That does not mean 1 Trillion was actually lost.

[SoonerPride]

6. They are unrealized paper losses that went nowhere.

For people that always preach "stay in the market longterm" they all have a very minute by minute mentality of investing.

Put money in and let it percolate for 25 years.

Then talk to me.

[whistle]

8. 778 points = $1.0 trillion so even if $700 billion had been infused

...they would have been $300 billion short it is rape and pillage by speculators and traders, there can NEVER BE ENOUGH BAILOUT for these shysters and speculators, greed makes that certain.

[vaberella]

12. I think it's the investments....

ie. Small busuinesses with 401 K plans with outside investors or those who are buying and investing into the economy. That goes into the paycheck and pensions of the people. That money lowers incomes and savings plans, like money market accounts...which accumulates to a loss for people. All in all to say that money that is normally invested through the market and filtered through our economy was taken back by investors domestically and internationally.

[RichardRay]

21. Where did it go?

It depends on what you mean by 'it'...

What we lost today was a big freaking hunk of people's willingness to pay other people for stuff. There's still the same amount of 'stuff', that doesn't change, but the way we keep track of 'stuff' is through a value in dollars. In capitalism 'stuff' has no inherent value; value is determined by the price that a buyer is willing to pay a seller. Today, that price is a bout $1,000,000,000,000 less than it was yesterday.

'We' are anybody who has a savings account, a 401K, a mutual fund, or, oddly enough, owes somebody else money. If you had value to have less now, and if you had debt (negative value) you have more of it now. If you had a bunch of gold stashed in the basement you're better off than you were earlier, otherwise, you're poorer. (or silver, or platinum, but even that's only a matter of time).

[kerry-is-my-prez]

26. we is anyone who has a 401k, retirement account or investments....

n/t

[Zynx]

36. The money doesn't necessarily go anywhere. There is no such thing as a preservation of wealth law.

[pocoloco]

3. Wah Wah Wah Wah Wah Slap Slap

Get a grip!!!

[vaberella]

13. Sounds like what the Repubs are saying to the Middle Class. n/t

[MadMaddie]

7. The bailout would not have helped homeowners whose balloon

loans are going to reset over the next 6 -8 months. The US citizen is fucked because Wall Street got lazy.

Let's tell the truth if an Average American lives beyond their means and finally had to meet obligations, rest assured the Republicans would say that it's the greedy citizens fault.

Well I say it's Wall Streets fault for being greedy, fuck them and their million dollar packages. I was at the bank today and the gal I was working with said that she and her coworkers tossed some numbers around and if you break down the 7 billion dollars it comes out to something like 2,300.00 per American. Seems to me if that's the case give the money to Americans and Americans can rebuild the country from the bottom up.

Just sayin...

***correction on breakdown...

[Joe the Revelator]

30. Your numbers are way off....do the math....700billion is 2300 per person

a penitence to save the economy

[MadMaddie]

31. so 2300 dollars a person versus 5 or 6 companies who

mismanaged their busineses and they get 7 billion. Why should we be responsible for bailing them out without accountability. Paulson who came from Wall Street gets to make decisions without having to get questioned by anyone.

Besides if history is any indicator the bailout would have failed. 1931 in the US and 1988 in Japan.

Pick your poisen.

[Joe the Revelator]

37. So, because of your "coprorate vedetta" you'd rather see millions lose their jobs and tens of

millions use their retirement? Sleep well.

[MadMaddie]

44. No it's not a vendetta against Wall street, it's Historical fact

The behaviors of Wall Street are mimicked


Wall Street Crash of 1929
<snip>
Panic selling on the New York Stock Exchange following an artificial boom from 1927 to 1929 fed by speculation.
<snip>

http://encyclopedia.farlex.com/Wall+Street+Crash,+1929

http://iws.ccccd.edu/kwilkison/Online1302home/20th%20Century/DepressionNewDeal.html

You are defending Wall Streets behavior, Lehman brothers survived the stock market crash of 1931, why didn't they survive this time around?

No doubt something needs to be done but this bill and the way it was written was not the way.

[Just Visiting]

45. Bailouts ALWAYS fail

Christ, people here point to Chrysler as a SUCCESS for crying out loud.

Yea, that turned out real well. Falling wages, shit quality, outsourced parts.

Quite the winner, that one.

Oh, but it still EXISTS you say - shouldn't that count for something?

I guess.

[lumberjack_jeff]

41. So, my family's share would have been $12,000?

I assume you mean "pittance", but I sure as hell would not call it that.

Given the choice between the government borrowing $12,000 on my behalf, and the stock market losing 770 points, I choose the latter.

[maui9002]

39. Actually, the bill does provide authority for the government

to do exactly that (help homeowners facing higher interest rates and foreclosures). It's authorization, not a requirement, but it's in there. See sections 109 and 110. As for the $2300 per person, do you really think that would help? Even for modest homes, that's two months of payments. And once again, I'll repeat it over and over again, $700 billion is NOT being "given" to anyone; it's being used ($250 billion up front, more later if it's needed up to $700 billion) to buy assets that today are not marketable but have at least some value, and with patience to hold the assets until the economy recovers, could be worth more than what the US Treasury would pay for them.

[Elidor]

9. Somehow, I don't trust the financial talking heads to give it to me straight

Call me cynical, what can I say?

[TheDonkey]

10. So Suze expect the markets to never go up again. How sad.

The markets will be up 3-4% at the least tomorrow.

[vaberella]

16. It will go up Wednesday, not tomorrow. For the potential signing on Thursday. n/t

[Morning Dew]

27. yet another sucker rally

then another drop.

This won't get signed until the end of the week, I bet. Or next Monday.

[Just Visiting]

40. Here's the dirty little secret

You know all that "toxic" debt that we are are supposed to stand in line and jump for joy to pay for? Well, it's getting worse.

By the day.

Guess what loan segment just joined the party?

Auto loans. How about that?

We now have consumers literally saying "here are the keys - good luck!"

Still think 700B is gonna do it? Still don't think that homeowners and car owners and boat owners and who knows what else owners are gonna start a parade to the local lending institutions and with a hearty fuck you leave the keys and say "bail me out too, or you own it?"

Oh you bet they are.

Still think the housing market is gonna rebound when the lending institutions are gonna require 20% down on home loans (the few that will actually lend and not make their money illiquid in a heartbeat)? Exactly how many folks have that saved up in petty cash?

[lumberjack_jeff]

42. Yeah. She'll have to find a real job. n/t

[Medusa]

11. People don't get it

the average person simply does not understand the long-term implications if this bill is not passed in some shape, form, or fashion. It was sold as a "Wall Street bail-out" when it should have been sold as a "Main Street bail-out". People have this idea that they are somehow donating their money to help a Wall Street banker make his Ferrari payments or finance his third home in the Hamptons or Aspen. That is NOT what this bill is about. But once people are out of work, their houses and credit cards have been repossessed-maybe they'll finally get it.

[Raschel]

23. Could be wrong but I agree

I heard a former Republican governor on TV tonite saying that this was not good and we will see people changing their minds due to the results of the no vote.

It did make me take notice since his Republican buddies were the ones who blocked it.

[Jennicut]

25. Yep, once the sh*t hits the fan they will get it.

This is a dry up of credit in the market, no some rich ceo's salary. This will lead to loss of jobs, companies cannot take loans out. Everyone is too afraid. Thanks house rethugs for putting ideology and the crappy laize faire system you so love and adore over the economy.

[Just Visiting]

34. Do tell

What IS it about then? Hey, I'm just a neophyte here but my guess is that we're buying back bad debt at inflated prices with phony money so everyone can get paid next week, and we'll worry about next week when the next bank goes belly up or the next foreign bank decides to pull out of the U.S. lending market.

Oh, I forgot - the approved spin is that the government is going to buy the debt at bargain prices and make a killing down the road.... :rofl:

[Sulawesi]

14. All I have to say is "12 REPUBLICANS"

[RoccoR5955]

15. I cut up my credit cards three years ago...

... when they changed the rules. I missed one freakin' payment, and they all raised my rate to 30 some percent. When they asked why, they told me that it was their 'new policy.' I told them that they could take their policy and stick it where the sun doesn't shine. I let the smallest one slip 30 days, and signed up with a consumer credit company, and now am on the way to being in the black in two years. I am paying back the entire debt, at a better rate than I could have gotten from them. The only drawback, is that I have no more credit cards. Oh well, I'll just have to get by the old fashioned way. Save up for stuff before I buy it.

[vaberella]

19. They did that to me too. I changed accounts. But I'm going to start paying off my cards complete.

I may have to take money out of my savings to cover my other expenses. Job situation is causing me problems.

[pnwmom]

29. Then you must never need to rent a car. Many of us do, and you can't

do that w/out a credit card.

[RoccoR5955]

49. You can do it with a debit card too, because I have! n/t

[msongs]

17. nobody lost a t rillion dollars. only a loss if you sell in panic instead of waiting for a rebound

[vaberella]

20. I have an idea on the distribution....

It's the fact that daily it gets messier.

[lib2DaBone]

18. The Market will go back up tomorrow....

They are already talking about "Buying" opportunites. I saw Suzy Orman on the "Today Show" this morning. She is about as helpful as a box of rocks. She gives advice like, "Water is Wet".... and "Quit using your credit card if you run out of Money". Gee Suzy.. I never would have thought of that?

[vaberella]

22. This I know. I feel bad for the people she advised to put money in 401Ks.

However, this concerns and not because of Suzy Orman, but the maximum affect this could cause to the nation. Anyway, I think the rise of the economy will happen on Wednesday, not tomorrow.

[democrat2thecore]

24. There's too many other alternatives than this rushed Mussolini-like package -nt

[tigereye]

28. I think there's a way to fix this without giving away the entire store

Sorry to sound a bit like Ross Perot - ack!), but I am really tired of panic-oriented reactions from large institutions who should have planned better in the long run.


If the voters don't like this bill, Congress should revamp it. It needs more protective provisions for those who own and buy the homes, as well as those who didn't engage in more irrational spending and exuberance, not just those who make millions with no conscience or foresight.

[Just Visiting]

32. Well, first off I'd stop listening to Suze Orman

She's a joke, really - the Oprah of finance.

Secondly, please understand that a giveaway is a temporary feel better now band-aid on a river that will do NOTHING. As we speak, foreign and U.S. banks/governments are artificially pumping up the money supply, or as they so lovingly put it "liquidity."

Here's what it will do for the good - some folks can make payroll, some folks can roll their credit again.

For a couple of months or so.

That's IT.

It's fake money - it has nothing to back it. It is $5000 worth of pretend credit backed by a $1 bill.

It will find it's way into hard assets and you'll be left with nothing. Again.

Only next time the nothing will be the size of Montana, and nobody will be there to help.

The things you say will be gone now will be gone for sure next time if the giveaway passes - the house of cards can not stand when it is propped up with worthless paper.

The "government will buy back assets for pennies on the dollar" bullshit is just that - sure, and the economy will be roses in five years and with each birthday I have I get younger.

[vaberella]

38. I know. I have issues with SO. She's fucked up many a credit plan.

Huh...should I go for Silver and Gold?!

[Just Visiting]

43. Would you like an honest answer?

I wish I knew.

It is spinning out of control so fast I don't know where to turn next.

People I trust say hang in there and diversify, but I have NO FAITH in this giveaway plan at all. They do, but I don't. They tell me it started with Carter and turned to shit with the sub-prime lending fiasco. I don't buy that for a second.

So I don't know.

I really don't.

Not yet, anyway.

P.S. If Suze Orman says it will rain tomorrow buy sunscreen. :)

[martymar64]

48. You're better off starting a heroin dealership

Your profit margin will be much much larger and in this shitty economy, a lot of people will be wanting to escape, so you'll have plenty of customers.

[Elidor]

47. Great post

Visit more often. You sound like the Voice of Reason to me.

:thumbsup:

[qanda]

33. Bush shouldn't have been the boy who cried wolf

Nobody trusted him when there really was a "wolf".

[newfie11]

35. I will not be buying stocks tomorrow.

I don't think we have seen the end of this by a long shot. The markets have been nuts for the past several weeks and I don't think this fall today is all that's coming.

[DCBob]

46. The Repubs are looking really bad right now and I suspect they will come to their senses and

vote for a similar version of a bailout bill on Thursday. Considering the implications and alternatives there really is no choice.