Standard & Poor’s is giving a higher rating to securities backed by subprime home loans, the same type of investments that led to the worst financial crisis since the Great Depression, than it assigns the U.S. government.You know how this works, don't you? The banksters involved pay the ratings agencies to rate the bonds. The rating agencies get paid according to the rating that they give to the bonds. So they get higher fees for rating mortgage-backed tripe AAA than they would if they rated them AA (or C).
S&P is poised to provide AAA grades to 59 percent of Springleaf Mortgage Loan Trust 2011-1, a set of bonds tied to $497 million lent to homeowners with below-average credit scores and almost no equity in their properties.
But nations pay no ratings fees to S&P, so they don't have any qualms about how they rate nations.*
Does anyone on Wall Street happen to remember that it was this mortgage-backed securities fuckery that damn near destroyed the global economic system? Does anyone remember how it was the Bush and Obama Administrations which saved the global economy by keeping the largest banks in the world from having to be liquidated?**
And yet, they have not learned a fucking thing. They're doing it again.
We shoulda cut off their fucking heads when we had the chance.
(H/T)
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* Other than if they screw with the Russians, they might wind up with a sudden case of polonium poisoning, that is.
** Teabaggers notwithstanding.
2 comments:
If we had cut their heads off wouldn't they just grow more?
It once was "A sucker born every minute". I fear they are breeding faster nowadays.
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